vu mgt201 Final Term - Quiz No.6
vu mgt201 Financial Management Quiz
This quiz belongs to book/course code vu mgt201 Financial Management of vu organization. We have 24 quizzes available related to the book/course Financial Management. This quiz has a total of 10 multiple choice questions (MCQs) to prepare and belongs to topic Final 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: A disadvantage of being a public company is:
the ability to have greater access to the capital markets
having the ability to engage in merger
disclosure of information to the SEC
all of the above are advantages
Question 2: All of these factors are used in credit policy administration except:
credit standards
terms of trade
dollar amount of receivables
collection policy
Question 3: MIRR (discount rate) equates which of the following?
Future value of cash inflows to the present value of cash outflows
Future value of cash flows to the present value of cash flows
Future value of all cash flows to zero
Present value of all cash flows to zero
Question 4: The cost of retained earnings does not consider __________ in the equation.
flotation costs
the dividend in the next time period
the value of the common equity
the growth rate of dividends
Question 5: As time to maturity draws near, a bond's value approaches:
zero
par
the coupon payment
none of the above
Question 6: If a company raises money to finance short-term needs by selling its accounts receivable to another party, this is called __________.
pledging
warehousing
factoring
none of the above
Question 7: The U.S. capital markets are composed of securities with maturities of __________.
less than one year
one year
one year and greater
none of the above
Question 8: The standard deviation measures:
portfolio risk
the risk of an individual security
the risk of two securities, with different expected returns, compared to each other
none of the above
Question 9: The present value of a dollar to be received in the future is:
more than a dollar
equal to a dollar
less than a dollar
none of the above
Question 10: What is the long-run objective of financial management?
Maximize earnings per share
Maximize the value of the firm's common stock
Maximize return on investment
Maximize market share
