Financial Management Multiple Choice Question MCQ Part 2
Categories: Finance Multiple Choice Question
Ques. The finance manager’s role is to: A) ensures that the funds are properly utilized B) maintains the financial health C) effective supervision of capital D) obtains capital assets of the organization Answer: B Ques. In the share market, the market value of any share is decided by: A) shareholders B) the government C) investment market D) the respective companies Answer: C Ques. The ultimate purpose of Financial management is: A) to get a maximum return B) to increase the wealth of owners C) to have a maximum risk factor D) to get a maximum profit Answer: B Ques. what is Capital Budgeting related to? A) short term assets B) long term assets C) long term as well as short term assets D) fixed assets Answer: B Ques. CAPM stands for: A) Capital asset pricing model B) Capital asset printing Model C) Capital amount princing model D) Capital amount printing model Answer: A Ques. Among the following options which one is not included in money market security? A) Treasury bills B) Certificate deposit C) Commercial paper D) National savings certificate Answer: D Ques. What does Working capital management, manage? A) long term assets B) long term liabilities C) short term assets and liabilities D) only short term liabilities Answer: C Ques. Any company’s average cost of capital is the average of: A) cost of equity preference shares B) cost of short term funds C) cost of shares and all sources of long term funds D) cost of equity shares and debentures Answer: C Ques. What does present value take? A) Compounding rate B) Inflation rate C) Deflation rate D) Discounting rate Answer: D Ques. What does future value interest factor take? A) Discounting rate B) Inflation rate C) Compounding rate D) Deflation rate Answer: C Ques. What does the underwriter take up? A) a fixed part of the issued capital B) the unregistered portion of the agreed capital C) the guaranteed part or can refuse it D) the unfixed part of the issue capital Answer: B Ques. Which one is/are financial assets? A) bonds B) machines C) stocks D) both a and c Answer: D