Finance Mcqs — Test 2

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Question 1

The principal amount of a bond at issue is called____________?

Question 2

Which of the following is the process of planning and managing a firm‟s long-term investments?

Question 3

A standardized financial statement presenting all items of the statement as a percentage of total is:

Question 4

The DuPont Identity tells us that Return on Equity is affected by:

Question 5

A series of constant cash flows that occur at the end of each period for some fixed number of periods is ____________ .

Question 6

Which of the following is the overall return the firm must earn on its existing assets to maintain the value of the stock?

Question 7

Which of the following strategy belongs to restrictive policy regarding size of investments in current assets?

Question 8

When real rate is high, all the interest rates tend to be ___________?

Question 9

Profitability index (PI) rule is to take an investment, if the index exceeds___________?

Question 10

Which of the following is known as the group of assets such as stocks and bonds held by an investor ?