M C Q s D r i v e

Management Sciences 5308 MCQs [All-Courses]

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Management Sciences focuses on the planning, organizing, leading, and controlling of resources to achieve organizational goals.This subject is highly important for competitive exams, academic study, and professional careers in the business and public sectors.

Rate of return which is required to satisfy stockholders and debt holders is classified as__________?

A Weighted average cost of interest
B Weighted average cost of capital
C Weighted average salvage value
D Mean cost of capital
Correct Answer: Weighted average cost of capital

In cash flow estimation and risk analysis, real rate will be equal to nominal rate if there is__________?

A No inflation
B High inflation
C No transactions
D No acceleration
Correct Answer: No inflation

Weighted average cost of debt, preferred stock and common equity is classified as_____________?

A Cost of salvage
B Cost of interest
C Cost of taxation
D Cost of capital
Correct Answer: Cost of capital

In cash flow estimation, depreciation shelters company’s income from_______?

A Expansion
B Salvages
C Taxation
D Discounts
Correct Answer: Taxation

Nominal interest rates and nominal cash flows are usually reflected the____________?

A Inflation effects
B Opportunity effects
C Equity effects
D Debt effects
Correct Answer: Inflation effects

The formula such as, net income available for common stockholders divided by total assets is used to calculate __________?

A return on total assets
B return on total equity
C return on debt
D return on sales
Correct Answer: return on total assets

The profit margin = 4.5%, assets turnover = 2.2 times, equity multiplier = 2.7 times then return on assets will be __________?

A 0.2673
B 26.73 times
C 0.094
D 0.4 times
Correct Answer: 0.2673

The low price for earnings ratio is the result of ____________?

A low riskier firms
B high riskier firms
C low dividends paid
D high marginal rate
Correct Answer: low riskier firms

The price per share is $25 and the cash flow per share is $6 then the price to cash flow ratio would be ___________?

A 0.24 times
B 4.16 times
C 0.0416
D 0.24
Correct Answer: 4.16 times

The price per share is $30 and earnings per share is $3.5 then price for earnings ratio would be ___________?

A 8.57 times
B 0.0857
C 0.11 times
D 0.11
Correct Answer: 8.57 times