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.

A discount rate which is equal to the present value of TV to the project cost present value is classified as _________?

A negative internal rate of return
B modified internal rate of return
C existed internal rate of return
D relative rate of return
Correct Answer: modified internal rate of return

The process in which the managers of the 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

In capital budgeting, the term of bond which has great sensitivity to interest rates is __________?

A long-term bonds
B short-term bonds
C internal term bonds
D external term bonds
Correct Answer: long-term bonds

The 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

In capital budgeting, a negative net present value results 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

In alternative investments, the constant cash flow stream is equal to initial cash flow stream in the approach which is classified as __________?

A greater annual annuity method
B equivalent annual annuity
C lesser annual annuity method
D zero annual annuity method
Correct Answer: equivalent annual annuity

The payback period in which an expected cash flows are discounted with the help of project cost of capital is classified as __________?

A discounted payback period
B discounted rate of return
C discounted cash flows
D discounted project cost
Correct Answer: discounted payback period

The modified rate of return and modified internal rate of return with exceed cost of capital if the net present value is ____________?

A positive
B negative
C zero
D one
Correct Answer: positive

A point where the profile of net present value crosses the horizontal axis at the plotted graph indicates the project ___________?

A costs
B cash flows
C internal rate of return
D external rate of return
Correct Answer: internal rate of return

The set of projects or set of investments to maximize the 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