Business Finance MCQs

A firm wants to know the Degree of Operating Leverage (DOL). They have the following information Current level of sales: 6,000 units Break-even point sales: 4,000 units What would be the DOL?

Financial leverage is measured by:

The concepts of cost of capital is/are very important from which point of view?

When a lease transfers substantially all the risks and rewards of ownership to lessee, this is called

IPO and FPO are linked with

The ratio measuring earnings available to the holder of an ordinary share is

On the expiration date of the futures contract, the price of the contract

Which is the source of mid-term finance?

In the foreign exchange market, factors that shift the expected return schedule for foreign deposits include 1. a change in the foreign interest rate. 2. a change in the expected future exchange rate. 3. a change in the current exchange rate. Select the correct answer by using the options given below