vu acc501 Mid Term - Quiz No.11
vu acc501 Business Finance Quiz
This quiz belongs to book/course code vu acc501 Business Finance of vu organization. We have 30 quizzes available related to the book/course Business Finance. This quiz has a total of 10 multiple choice questions (MCQs) to prepare and belongs to topic Mid Term. NVAEducation wants its users to help them learn in an easy way. For that purpose, you are free to prepare online MCQs and quizzes.
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Question 1: One would be indifferent between taking and not taking the investment when:
NPV is greater than Zero
NPV is equal to Zero
NPV is less than Zero
All of the given options
Question 2: What would be the present value of Rs. 10,000 to be received after 6 years at a discount rate of 8 percent?
Rs. 6,302
Rs. 9,981
Rs. 14,800
Rs. 15,869
Question 3: Which of the following issue is NOT covered by "Investment" area of finance?
Best mixture of financial investment
International aspects of corporate finance
Associated risks and rewards
Pricing financial assets
Question 4: If a firm uses cash to purchase inventory, its quick ratio will:
Increase
Decrease
Remain unaffected
Become zero
Question 5: Average Accounting Return is a measure of accounting profit relative to:
Book value
Intrinsic value
Cost
Market value
Question 6: Finance is the art and science of handling __________.
Money
People
Authority
None of the given options
Question 7: Which of the given is correct?
Financial asset is a document representing a claim to income
Real asset is a document representing a claim to income
Financial asset is an object that provides a service
All of the given options
Question 8: The price of a Rs. 1,000-face value bond is Rs. 910. What will be the yield to maturity if there is a coupon payment of Rs. 90 for 6 years?
Greater than 9%
Equal to 9%
Lower than 9%
Cannot be determined without more information
Question 9: __________ is the group of assets such as stocks and bonds held by an investor.
Portfolio
Diversification
Stock Bundle
None of the given options
Question 10: allow a bank to substitute its creditworthiness for the customer, for a fee is called __________ -
open bank account
commercial draft
promisory note
banker accetptance
