M C Q s D r i v e

Management Sciences 5307 MCQs [All-Courses]

thumb

Management Sciences focuses on the planning, organizing, leading, and controlling of resources to achieve organizational goals.This subject is highly important for competitive exams, academic study, and professional careers in the business and public sectors.

A formula of after-tax component cost of debt is___________?
A Interest rate-tax savings
B Marginal tax-required return
C Interest rate + tax savings
D Borrowing cost + embedded cost
Correct Answer: Interest rate-tax savings
A type of beta which incorporates about company such as changes in capital structure is classified as___________?
A Industry Beta
B Market Beta
C Subtracted Beta
D Fundamental Beta
Correct Answer: Fundamental Beta
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
Correct Answer: Common stockholders
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%
Correct Answer: 7%
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
Correct Answer: Sunk cost
Project which is started by firm for increasing sales is classified as______________?
A New expansion project
B Old expanded project
C Firm borrowing project
D Product line selection
Correct Answer: New expansion project
Cash flows that should be considered for decision in hand are classified as____________?
A Relevant cash flows
B Irrelevant cash flows
C Marginal cash flows
D Transaction cash flows
Correct Answer: Relevant cash flows
Redemption option which protects investors against rise in interest rate is considered as________?
A Redeemable at deferred
B Redeemable at par
C Redeemable at refund
D Redeemable at finding
Correct Answer: Redeemable at par
Bond which is offered below its face value is classified as______________?
A Present value bond
B Original issue discount bond
C Coupon issued bond
D Discounted bond
Correct Answer: Original issue discount bond
In capital budgeting, number of non-normal cash flows have internal rate of returns are____________?
A One
B Multiple
C Accepted
D Non-accepted
Correct Answer: Multiple