finance MCQs – Page 18

Practise multiple-choice questions from finance for competitive examinations and subject revision. Review each marked answer and report any item that may be outdated or unclear.

finance Mcqs
341. Securities with less predictable prices and have longer maturity time is considered as_______________?
comments icon0

A. Inventories

B. Long-term investments

C. Short-term investments

D. Cash equivalents

342. In balance sheet, sum of retained earnings and common stock are considered as_____________?
comments icon0

A. Due equity

B. Common perpetuity

C. Preferred equity

D. Common equity
343. All partners have limited liability in_________________?
comments icon0

A. Uncontrolled partnership

B. Controlled partnership

C. Unlimited liability partnership

D. Limited liability partnership
344. In capital asset pricing model, stock with high standard deviation tend to have________?
comments icon0

A. High beta

B. Low variation

C. Low beta

D. High variation

345. The low price for earnings ratio is the result of ____________?
comments icon0

A. high riskier firms

B. high marginal rate

C. low riskier firms

D. low dividends paid

346. Procedure of finding present values in time value of money is classified as____________?
comments icon0

A. Stock value

B. Compounding

C. Discounting

D. Money value

347. Financial security kept by non-financial corporations is____________________?
comments icon0

A. Short term capital cost

B. Deposit cheque

C. Short term treasury bills

D. Distribution cost

348. Beta reflects stock risk for investors which is usually_________?
comments icon0

A. Linear

B. Weighted

C. Individual

D. Collective

349. Rise in stock market is called_______?
comments icon0

A. bearish

B. bullish

C. hawkish

D. none of this

350. Loans by finance companies, banks and credit unions is classified as___________?
comments icon0

A. Eurodollar market deposits

B. Consumer credit loans

C. Euro bonds

D. Dollar bonds

351. Standard deviation of tighter probability distribution is____________?
comments icon0

A. Riskier

B. Long-termed

C. Short-termed

D. Smaller
352. Type of financial securities that mature in less than a year are classified as___________?
comments icon0

A. Money market securities

B. Capital market securities

C. Saving intermediaries

D. Discounted intermediaries

353. The project whose cash flows are less than the capital invested for required rate of return then the net present value will be ___________?
comments icon0

A. zero

B. positive

C. independent

D. negative
354. Cash flows that should be considered for decision in hand are classified as____________?
comments icon0
A. Relevant cash flows

B. Irrelevant cash flows

C. Marginal cash flows

D. Transaction cash flows

355. Transfer through institutions such as mutual funds or banks are classified as________________?
comments icon0

A. Non-financial intermediary

B. Financial intermediary

C. Savers intermediary

D. Discounted intermediary

356. The bonds that are backed by cash flow from project and are sold to finance particular project are classified as ____________?
comments icon0
A. revenue bonds

B. financing bonds

C. finance bonds

D. project bonds

357. Type of financial security in which loans are secured by borrowers property is classified as__________?
comments icon0

A. U.S treasury bonds

B. Mortgages

C. Municipal bonds

D. Corporate bonds

358. Companies take savings as premium, invest in bonds and make payments to beneficiaries are classified as_____________?
comments icon0

A. Debit unions

B. Auto purchases

C. Credit unions

D. Life insurance companies
359. Dow Jones is stock exchange market of__________?
comments icon0
A. New York

B. None of these

C. Tokyo

D. London

360. The process of comparing company results with the other leading firms is considered as ___________?
comments icon0
A. benchmarking

B. analysis

C. return analysis

D. comparison