Finance Mcqs — Test 8
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Question 1
In capital budgeting, positive net present value results in_________________?
Question 2
First step in calculation of net present value is to find out_________?
Question 3
Life that maximizes net present value of an asset is classified as__________?
Question 4
Present value of future cash flows is divided by an initial cost of project to calculate_______?
Question 5
An uncovered cost at start of year is $200, full cash flow during recovery year is $400 and prior years to full recovery is 3 then payback would be__________?
Question 6
Profitability index in capital budgeting is used for_________?
Question 7
Relationship between Economic Value Added (EVA) and Net Present Value (NPV) is considered as____________?
Question 8
In mutually exclusive projects, project which is selected for comparison with others must have____________?
Question 9
A project whose cash flows are more than capital invested for rate of return then net present value will be___________?
Question 10
Bonds that have high liquidity premium are usually have_________?