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.
Cost which has occurred already and not affected by decisions is classified as______________?
A: Sunk cost
B: Occurred cost
C: Weighted cost
D: Mean cost
Sunk cost
Cost of common stock is 16% and bond yield is 9% then bond risk premium would be_________?
A: 7%
B: 8%
C: 1.78%
D: 25%
7%
Cost of capital is equal to required return rate on equity in case if investors are only__________?
A: Valuation manager
B: Common stockholders
C: Asset seller
D: Equity dealer
Common stockholders
In financial planning, most high option price will lead to__________?
A: Longer option period
B: Smaller option period
C: Lesser price
D: Higher price
Longer option period
An increase in value of option leads to low present value of exercise cost only if it has____________?
A: Low volatility
B: Interest rates are high
C: Interest rates are low
D: High volatility
Interest rates are high
An option that gives investors right to sell a stock at predefined price is classified as____________?
A: Put option
B: Call option
C: Money back options
D: Out of money options
Put option
Long-term equity anticipation security is usually classified as__________?
A: Short-term options
B: Long-term options
C: Short money options
D: Yearly call
Long-term options
Low price for earnings ratio is result of________________?
A: Low riskier firms
B: High riskier firms
C: Low dividends paid
D: High marginal rate
Low riskier firms
An investor who writes stock call options in his own portfolio is classified as__________?
A: Due option
B: Covered option
C: Undue option
D: Uncovered option
Covered option
A regulatory body which licenses brokers and oversees traders is classified as__________?
A: International firm of auction system
B: International association of network dealers
C: National firm of equity dealers
D: National association of securities dealers
National association of securities dealers