Business Finance MCQs

Which of the following is an example of owner's fund?

The Board of Directors announces the amount and date of the next dividend on the . . . . . . . . date; while the . . . . . . . . date is the first date on which the purchaser of a stock is no longer entitled to the recently declared dividend.

Which one of the following is not a method of calculating the cost of equity capital?

The process of allocation or distribution of available capital funds over various capital projects according to their ranks and profitability is called

Share capital is

Match the items given in the two lists. List-I List-II a. Debt securities 1. Floating Rate Bonds without any explicit interest rate b. Company issuing such bonds experiences less financial distress 2. Zero-Coupon Bonds c. Coupon rate quoted as a mark-up on the given rate 3. Income Bonds

Assertion (A): The risk condition exists when decision-makers have absolutely no idea of what the results of an implemented alternative would be. Reason (R): When operating under complete uncertainty condition, decision-makers usually find that sound decisions are a matter of chance. In the context of the two statements, which one of the following is correct?

When there is acceleration of payment of strengthening currencies, and speeding up the receipt of weakening currencies, then there is

Which is the following is not a method of issuing ordinary shares?