

Management Sciences MCQs
These Management Sciences MCQs are for public service commission exams and BBA, and MBA students to prepare for their examinations. All MCQs are prepared after having a look at past papers of public service commission examinations held from time to time. These Management Science questions are very important for all types of tests conducted by FPSC, NTS, KPPSC, PPSC, SPSC, BPSC, OTS, UTS, PTS, CTS, ATS, STS, ETEA, and other testing agencies of Pakistan.
The Yield to Maturity of a bond is the same as_____________?
A: The present value of the bond
B: The bonds internal rate of return
C: The future value of the bond
D: None of these
The bonds internal rate of return
Choose from the following a symptom which is not relating to Over Trading?
A: Cash shortage
B: Low inventory turnover ratio
C: Low current ratio
D: High inventory turnover ratiO
Low inventory turnover ratio
The formula to calculate the present value of a single cash flow is given by:
A: CF1 / (1+r)n
B: C2 / (1+r)
C: C0 + C (1+r)n
D: None of these
CF1 / (1+r)n
The most important item that can be extracted from financial statements is the actual ________ of the firm.
A: Net Working Capital
B: Cash Flow
C: Net Present Value
D: None of the given options
Cash Flow
A firm has paid out Rs. 150,000 as dividends from its net income of Rs. 250,000. What is the retention ratio for the firm?
A: 12%
B: 25%
C: 40%
D: 60%
40%
Which of the following ratios is NOT from the set of Asset Management Ratios?
A: Inventory Turnover Ratio
B: Receivable Turnover
C: Capital Intensity Ratio
D: Return on Assets
Capital Intensity Ratio
Which of the following statement about bond ratings is TRUE?
A: Bond ratings are typically paid for by a companys bondholders.
B: Bond ratings are based solely on information acquired from sources other than the bond issuer.
C: Bond ratings represent an independent assessment of the credit-worthiness of bonds.
D: None of the given options
Bond ratings represent an independent assessment of the credit-worthiness of bonds.
If you plan to save Rs. 5,000 with a bank at an interest rate of 8%, what will be the worth of your amount after 4 years if interest is compounded annually?
A: Rs. 5,400
B: Rs. 5,900
C: Rs. 6,600
D: Rs. 6,802
Rs. 6,802
Which of the following item provides the important function of shielding part of income from taxes?
A: Inventory
B: Supplies
C: Machinery
D: Depreciation
Depreciation
When the markets required rate of return for a particular bond is much less than its coupon rate, the bond is selling at:
A: Premium
B: Discount
C: Par
D: Cannot be determined without more information
Premium
