

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.
Which of the following is the overall return the firm must earn on its existing assets to maintain the value of the stock?
A: IRR (Internal Rate of Return)
B: MIRR (Modified Internal Rate of Return)
C: WACC (Weighted Average Cost of Capital)
D: AAR (Average Accounting Return)
WACC (Weighted Average Cost of Capital)
Which of the following is known as the group of assets such as stocks and bonds held by an investor ?
A: Stock Bundle
B: Portfolio
C: Capital Structure
D: None of these
Portfolio
Which of the following is measured by profit margin?
A: Operating efficiency
B: Asset use efficiency
C: Financial policy
D: Dividend policy
Operating efficiency
Which of the following set of ratios is used to assess a businesss ability to generate earnings as compared to its expenses and other relevant costs incurred during a specific period of time?
A: Liquidity Ratios
B: Leverage Ratios
C: Profitability Ratios
D: Market Value Ratios
Profitability Ratios
A company having a current ratio of 1 will have __________ net working capital.
A: Positive
B: Negative
C: zero
D: None of the given options
zero
Which of the following equation is known as Cash Flow (CF) identity?
A: CF from Assets = CF to Creditors “ CF to Stockholder
B: CF from Assets = CF to Stockholders “ CF to Creditors
C: CF to Stockholders = CF to Creditors + CF from Assets
D: CF from Assets = CF to Creditors + CF to Stockholder
CF from Assets = CF to Creditors + CF to Stockholder
The difference between current assets and current liabilities is known as____________?
A: Surplus Asset
B: Short-term Ratio
C: Working Capital
D: Current Ratio
Working Capital
Which of the following costs are reported on the income statement as the cost of goods sold?
A: Product cost
B: Period cost
C: Both product cost and period cost
D: Neither product cost nor period cost
Product cost
Standard Company had net sales of Rs. 750,000 over the past year. During that time, average receivables were Rs. 150,000. Assuming a 365-day year, what was the average collection period?
A: 5 days
B: 36 days
C: 48 days
D: 73 days Read More Details about this Mcq
73 days
Which of the following terms refers to the use of debt financing?
A: Operating Leverage
B: Financial Leverage
C: Manufacturing Leverage
D: None of the given options
Financial Leverage
