Business Finance MCQs

Which of the following combination is suitably attributed to the statement that stakeholders should expect a fair return on their investment? (i) Optimization of Profit (ii) Social Responsibility of Business (iii) Competition Theory of Business (iv) Walter's Theory

Which of the following statements is not correct?

Match the following. List-I List-II a. Net income approach 1. Also known as 'Intermediate Approach' b. Net operating income approach 2. Change in the capital structure of a company does not affect the market value of the company and overall cost of capital c. Traditional approach 3. It provide analytical sound and logically consistent behavioural justification for their hypothesis d. Modigliani Miller approach 4. A firm can minimise the overall cost of capital by using debt financing to the maximum extent

Dividend policy of a company mainly concerns with 1. Dividend payout and/or 2. Stability of dividend Select the correct answer using the options given below

The risks that cannot be eliminated by diversification are

If NPV is positive, the IRR will be

Efficient portfolios can be defined as those portfolios which for a given level of risk provides

Translation exposure arises in respect of items translated at

Which of the following is an implicit cost of increasing proportion of debt of a company?