finance Mcqs
501. An attitude of investor towards dealing with risk determines the____________?
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A. Rate of return

B. Rate of intrinsic stock

C. Rate of extrinsic stock

D. Rate of exchange

502. Step in initial public offering in which hired agents act on behalf of owners is classified as______________?
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A. Hiring problems

B. Corporation internal problems

C. Corporation external problems

D. Agency problems
503. Term structure premium, an inflation of bond and bond default premium are included in_________________?
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A. Bond buying factors

B. Premium factors

C. Multi model

D. Risk factors
504. A discount rate which is equal to the present value of TV to the project cost present value is classified as _________?
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A. existed internal rate of return

B. relative rate of return

C. negative internal rate of return

D. modified internal rate of return
505. In alternative investments, the constant cash flow stream is equal to initial cash flow stream in the approach which is classified as __________?
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A. zero annual annuity method

B. equivalent annual annuity

C. greater annual annuity method

D. lesser annual annuity method

506. The return on assets = 5.5%, Total assets $3,000 and common equity is $1,050 then the return on equity would be _________?
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A. 1.925 times

B. 0.1571

C. 0.01925

D. 22275

507. According to Black Scholes model, selling and buying of stock have_______?
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A. Transaction costs

B. No discounts

C. Discount rate

D. No transaction costs

508. To whom does the Treasurer most likely report?
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A. Chief Executive Officer

B. Chief Financial Officer

C. Vice President of Operations

D. Board of Directors

509. An annual estimated cost of assets uses up every year is included__________?
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A. Depreciation and amortization

B. Net sales

C. Net profit

D. Net income

510. An efficient set of portfolios represented through graph is classified as an__________?
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A. Attained frontier

B. Inefficient frontier

C. Efficient frontier

D. Unattainable frontier

511. Collection of money from investors and spending money in other investment activities is classified as__________________?
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A. Retirement funds

B. Future funds

C. Hedge funds

D. Pension funds

512. Financial corporations which serve individual savers and commercial mortgage borrowers are classified as____________?
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A. Savings associations

B. Preferred and common associations

C. Savings and loans associations

D. Loans associations

513. The situation in which one project is accepted while rejecting an other project in comparison is classified as __________?
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A. mutual consent

B. present value consent

C. mutual project

D. mutually exclusive
514. The treasury notes that provide returns tied to inflation rate are classified as
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A. clean price bonds

B. premium index bonds

C. inflation index bonds

D. discount index bonds