Finance Mcqs


Q.  You just won a prize, you can either receive Rs. 1000 today or Rs. 1,050 in one year. Which option do you prefer and why if you can earn 5 percent on your money?

a. Rs. 1,000 because it has the higher future value
b. Rs. 1,000 because you receive it sooner
c. Rs. 1,050 because it is more money
d. Either because both options are of equal value


ANSWER: See Answer
 
No explanation is available for this question!
MCQs:  Which of the following statement is considered as the accountant’s snapshot of firm’s accounting value as of a particular date?
Category: MBA Questions,   Published by: teswesm
MCQs:  The most important item that can be extracted from financial statements is the actual ________ of the firm.
Category: MBA Questions,   Published by: teswesm
MCQs:  A firm has paid out Rs. 150,000 as dividends from its net income of Rs. 250,000. What is the retention ratio for the firm?
Category: MBA Questions,   Published by: teswesm
MCQs:  Which of the following ratios is NOT from the set of Asset Management Ratios?
Category: MBA Questions,   Published by: teswesm
MCQs:  Which of the following statement about bond ratings is TRUE?
Category: MBA Questions,   Published by: teswesm
MCQs:  If you plan to save Rs. 5,000 with a bank at an interest rate of 8%, what will be the worth of your amount after 4 years if interest is compounded annually?
Category: MBA Questions,   Published by: teswesm
MCQs:  Which of the following statement is TRUE regarding debt?
Category: MBA Questions,   Published by: teswesm
MCQs:  A firm reports total liabilities of Rs. 300,000 and owner’s equity of Rs. 500,000. What would be the total worth of the firm’s assets?
Category: MBA Questions,   Published by: teswesm
MCQs:  Which of the following measure reveals how much profit a company generates with the money shareholders have invested?
Category: MBA Questions,   Published by: teswesm
MCQs:  If you have Rs. 850 and you plan to save it for 4 years with an interest rate of 10%, what will be the future value of your savings?
Category: MBA Questions,   Published by: teswesm
MCQs:  In case of international business which of the given factor(s) must be considered?
Category: MBA Questions,   Published by: teswesm
MCQs:  Which of the following refers to the difference between the sale price and cost of inventory?
Category: MBA Questions,   Published by: teswesm
MCQs:  Who of the following make a broader use of accounting information?
Category: MBA Questions,   Published by: teswesm
MCQs:  The Yield to Maturity of a bond is the same as_____________?
Category: MBA Questions,   Published by: teswesm
MCQs:  Choose from the following a symptom which is not relating to “Over Trading”?
Category: MBA Questions,   Published by: teswesm
MCQs:  The formula to calculate the present value of a single cash flow is given by:
Category: MBA Questions,   Published by: teswesm
MCQs:  The effect of purchasing power or inflation on present value is important because _________?
Category: MBA Questions,   Published by: teswesm
MCQs:  An Asset is __________?
Category: MBA Questions,   Published by: teswesm
MCQs:  If a company revaluates its fixed assets, the current ratio of the company will:
Category: MBA Questions,   Published by: teswesm
MCQs:  If we were studying a sample of 100 students and their examination performance and if the standard deviation of the list of results was say 14, then we could calculated the standard error by ___________?
Category: MBA Questions,   Published by: teswesm