Finance MCQs

Page No. 22

Forecast by analysts, retention growth model and historical growth rates are methods used for an______________?


aEstimate future growth


bEstimate option future value


cEstimate option present value


d Estimate growth ratio



Capital gain expected by stockholders and dividends are included in____________?


aDebt rate


bInvestment return


c Interest rate


d Cost of equity


View Answer Cost of equity

Markets dealing loans of autos, education, vacations and appliances are considered as__________?


aConsumer credit loans


bCommercial markets


cResidential markets


dMortgage markets


View Answer Consumer credit loans

Bonds issued to individuals by corporations are classified as__________?


aMunicipal bonds


bCorporate bonds


cU.S treasury bonds


dMortgages


View Answer Corporate bonds

A markets which deals with long-term corporate stocks are classified as


aLiquid markets


bShort-term markets


cCapital markets


d Money markets


View Answer Capital markets

In financial markets, period of maturity less than one year of financial instruments is classified as________________?


aShort-term


bLong-term


cIntermediate term


d


View Answer Short-term

Price for debt is called_________?


aDebt rate


bInvestment return


cDiscount rate


dInterest rate


View Answer Interest rate

Set of rules consisting of behavior towards its directors, creditors, shareholders, competitors and community is considered as____________?


aAgency governance


bHiring governance


cCorporate governance


d External governance


View Answer Corporate governance

Notes, mortgages, bonds, stocks, treasury bills and consumer loans are classified as______________?


aFinancial instruments


b Capital assets


cPrimary assets


dCompetitive instruments


View Answer Financial instruments

Legal entity separation from its legal owners and managers with help of state laws is classified as____________?


aControlled corporate business


bCorporation


cLimited corporate business


dUnlimited corporate business


View Answer Corporation

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