This download link is referred from the post: Calicut University M.Com 2020 Important Questions (Question Bank) || (University of Calicut)
School of Distance Education
STRATEGIC FINANCIAL MANAGEMENT
FOURTH SEMESTER M.COM ELECTIVE: MC4 E(F)03
Multiple Choice Questions
- In ......... Approach, the capital structure decision is relevant to the valuation of the firm.
- Net income
- miller and modigilani
- traditional
- net operating income
--- Content provided by FirstRanker.com ---
- .......... is defined as the length of time required to recover the initial cash outlay.
- Pay back period
- inventory conversion period
- discounted cash back
- budgeted period.
--- Content provided by FirstRanker.com ---
- The term capital structure refers to
- Long term debt, preferred stock and common stock equity
- Current asset and current liabilities
- Total asset minus liabilities
- Shareholder's equity
--- Content provided by FirstRanker.com ---
- In walter model formula D stands for
- Dividend per share
- Direct dividend
- Dividend earning
- None of these
--- Content provided by FirstRanker.com ---
- Financing methods for merger and acquisition exclude:
- Cash
- Convertible bond
- Vendor placing
- Overdraft
--- Content provided by FirstRanker.com ---
- Convertible bonds are not :
- Straight bonds
- Two stage financial instrument
- Converted to ordinary shares
- Hybrid securities
--- Content provided by FirstRanker.com ---
- A .......... lease is a way of providing finance
- Finance
- Commercial
- Economic
- None of these
--- Content provided by FirstRanker.com ---
- Economic value added is based on the -------?
- Profit
- Residual wealth
- Gross wealth
- None of these
--- Content provided by FirstRanker.com ---
- MVA stands for
- Maximum value added
- Market value added
- Minimum value added
- Most value added
--- Content provided by FirstRanker.com ---
- A firm that acquires another firm as part of its strategy to sell off assets, cut costs, and operate the remaining assets more efficiently is engaging in
- Strategic acquisition
- A financial acquisition
- Two tier tender offer
- Shark repellent
--- Content provided by FirstRanker.com ---
- The ways in which mergers and acquisitions (M&As) occur do not include:
- conglomerate takeover
- diversification
- vertical integration
- horizontal integration
--- Content provided by FirstRanker.com ---
- Which of the following capital budgeting methods has the value additive property?
- NPV
- IRR
- Payback period
- Discounted payback period
--- Content provided by FirstRanker.com ---
- How is economic value added (EVA) calculated?
- It is the difference between the market value of the firm and the book value of equity.
- It is the firm's net operating profit after tax (NOPAT) less a dollar cost of capital charge.
- It is the net income of the firm less a dollar cost that equals the weighted average cost of capital multiplied by the book value of liabilities and equities.
- None of the above are
--- Content provided by FirstRanker.com ---
- Retained earnings are
- an Indication of a company's liquidity
- the same as cash in the bank
- not important when determining dividends
- the cumulative earnings of the company after dividends
--- Content provided by FirstRanker.com ---
- Economic value added provides a measure of
- how much value is added by the economy
- how much value is added by operations
- how much a business affects the economy
- how much wealth a company is creating compared to its cost of capital.
--- Content provided by FirstRanker.com ---
ANSWER KEY
--- Content provided by FirstRanker.com ---
1.a 2.a 3.a 4.a 5.d 6.a 7.a 8.b 9.b 10.b 11.b 12.a 13.b 14.d 15.d
Prepared by:
Sri. Nazar. K
Assistant Professor on contract,
School of Distance Education,
--- Content provided by FirstRanker.com ---
University of Calicut.
--- Content provided by FirstRanker.com ---
This download link is referred from the post: Calicut University M.Com 2020 Important Questions (Question Bank) || (University of Calicut)