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.

The cash flows occurring with more than one change in sign of cash flow are classified as __________?
A non-normal cash flow
B normal cash flow
C normal costs
D non-normal costs
Correct Answer: non-normal cash flow
If the net present value is positive then the profitability index will be ___________?
A greater than two
B equal to
C less than one
D greater than one
Correct Answer: greater than one
The present value of future cash flows is divided by an initial cost of the project to calculate __________?
A negative index
B exchange index
C project index
D profitability index
Correct Answer: profitability index
A project which have one series of cash inflows and results in one or more cash outflows is classified as __________
A abnormal costs
B normal cash flows
C abnormal cash flow
D normal costs
Correct Answer: normal cash flows
The initial cost is $5000 and the probability index is 3.2 then the present value of cash flows is _________?
A 8200
B 16000
C 0.0064
D 1562.5
Correct Answer: 16000
The situation in which the firm limits the expenditures on capital is classified as __________?
A optimal rationing
B capital rationing
C marginal rationing
D transaction rationing
Correct Answer: capital rationing
In capital budgeting, the number of non-normal cash flows having internal rate of returns are _________?
A one
B multiple
C accepted
D non-accepted
Correct Answer: multiple
In calculation of internal rate of return, an assumption states that received cash flow from the project must __________?
A be reinvested
B not be reinvested
C be earned
D not be earned
Correct Answer: be reinvested
Other factors held constant, the greater project liquidity is because of ___________?
A less project return
B greater project return
C shorter payback period
D greater payback period
Correct Answer: shorter payback period
The profitability index in capital budgeting is used for __________?
A negative projects
B relative projects
C evaluate projects
D earned projects
Correct Answer: evaluate projects