M C Q s D r i v e

Management Sciences 5308 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.

Current option price is added to present value of portfolio for calculating_________?

A Future value of portfolio
B Current value of stock
C Future value of stock
D Present value of portfolio
Correct Answer: Current value of stock

Rate of required return by debt holders is used for estimation the__________?

A Cost of debt
B Cost of equity
C Cost of internal capital
D Cost of reserve assets
Correct Answer: Cost of debt

In retention growth model, payout ratio is subtracted from one to calculate___________?

A Present value ratio
B Future value ratio
C Retention ratio
D Growth ratio
Correct Answer: Retention ratio

Interest rates, tax rates and market risk premium are factors which an/a_____________?

A Industry cannot control
B Industry cannot control
C Firm must control
D Firm cannot control
Correct Answer: Firm cannot control

Double declining balance method and sum of years digits are included in__________?

A Yearly method
B Single methods
C Double methods
D Accelerated methods
Correct Answer: Accelerated methods

Real rate expected cash flows and nominal rate expected cash flows must be______________?

A Accelerated
B Equal
C Different
D Inflated
Correct Answer: Equal

Real interest rate and real cash flows do not include_____________?

A Equity effects
B Debt effects
C Inflation effects
D Opportunity effects
Correct Answer: Inflation effects

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