MCQs4All - Finance Collection

Finance MCQs for NTS, FPSC, CSS, PPSC, PMS, UTS, FTS, OTS, Accounting, MBA, BBA of past papers

Question. A modified internal rate of return is considered as present value of costs and is equal to
  1. p.v of hurdle rate
  2. fv of hurdle rate
  3. p.v of terminal value
  4. fv of terminal value
Question. A point where profile of net present value crosses horizontal axis at plotted graph indicates project
  1. costs
  2. cash flows
  3. internal rate of return
  4. external rate of return
Question. A measure which is not included in Fama French Three-Factor model is
  1. realized risk free rate
  2. rate of return on market
  3. random error
  4. risk premium
Question. A method of inventory recording which produces high inventories in balance sheet is classified as
  1. first out receivable
  2. first in first out
  3. last in first out
  4. last out receivable
Question. A portfolio consists of all stocks in a market is classified as
  1. market portfolio
  2. return portfolio
  3. correlated portfolio
  4. diversified portfolio
Question. A premium charged by lenders for securities that cannot be converted into cash is classified as
  1. required premium
  2. liquidity premium
  3. marketability premium
  4. Both B and C
Question. A premium which reflects possibility of issuer who does not pay principal amount of bonds is called
  1. seasoned risk premium
  2. nominal risk premium
  3. default risk premium
  4. quoted risk premium
Question. A price for equity is called
  1. interest rate
  2. cost of equity
  3. debt rate
  4. investment return
Question. A project which have one series of cash inflows and results in one or more cash outflows is classified as
  1. abnormal costs
  2. normal cash flows
  3. abnormal cash flow
  4. normal costs
Question. A range of probability distribution with 95.46% lies within
  1. ( + 1σ and -1σ)
  2. ( + 2σ and -2σ)
  3. ( + 3σ and -3σ)
  4. ( + 4σ and -4σ)
Question. A regulatory body which licenses brokers and oversees traders is classified as
  1. international firm of auction system
  2. international association of network dealers
  3. national firm of equity dealers
  4. national association of securities dealers
Question. A retirement plans funded for workers by corporations, administered and commercial banks are classified as
  1. retirement funds
  2. pension funds
  3. future funds
  4. workers funds
Question. A right which controls and prevents transfer from current stockholders to other new stockholders is considered as
  1. corporate charter
  2. selling charter
  3. laws
  4. purchase chart