M C Q s D r i v e

Management Sciences 5307 MCQs [All-Courses]

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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 technique uses in comparative analysis of financial statement is_________?
A Graphical analysis
B Preference analysis
C Common size analysis
D Returning analysis
Correct Answer: Common size analysis
Net income available to stockholders is $150 and total assets are $2,100 then return on total assets would be_________?
A 0.07%
B 7.14%
C 0.05 times
D 7.15 times
Correct Answer: 7.14%
Return on assets = 5.5%, Total assets $3,000 and common equity $1,050 then return on equity would be_________?
A $22,275
B 15.71%
C 1.93%
D 1.925 times
Correct Answer: 15.71%
High price to earnings ratio shows company’s_________?
A Low dividends paid
B High risk prospect
C High growth prospect
D High marginal rate
Correct Answer: High growth prospect
In internal rate of returns, discount rate which forces net present values to become zero is classified as__________?
A Positive rate of return
B Negative rate of return
C External rate of return
D Internal rate of return
Correct Answer: Internal rate of return
Set of projects or set of investments usually maximize firm value is classified as_________?
A Optimal capital budget
B Minimum capital budget
C Maximum capital budget
D Greater capital budget
Correct Answer: Optimal capital budget
Modified rate of return and modified internal rate of return with exceed cost of capital if net present value is____________?
A Positive
B Negative
C Zero
D One
Correct Answer: Positive
In capital budgeting, a negative net present value result in______________?
A Zero economic value added
B Percent economic value added
C Negative economic value added
D Positive economic value added
Correct Answer: Negative economic value added
Number of years forecasted to recover an original investment is classified as________?
A Payback period
B Forecasted period
C Original period
D Investment period
Correct Answer: Payback period
Process in which managers of company identify projects to add value is classified as__________?
A Capital budgeting
B Cost budgeting
C Book value budgeting
D Equity budgeting
Correct Answer: Capital budgeting