1) Which from the following is NOT an example of intangible assets?
2) The following are the examples of financial assets except?
3) The following are important functions of financial markets: I. Source of financing II. Provide liquidity III. Reduce risk IV. Source of informatio
4) The sale of financial assets is also referred to as the
5) The construction of new manufacturing plant is also referred to as the
6) According to the Efficient Market Hypothesis, which from the following is NOT true?
7) According to the weak form of market efficiency __________ past information is included in the stock price.
8) We say about a particular investment that it is risky, because
9) In Finance, risk is calculated by calculating the
10) The sale of bonds by a country or a corporation is referred to as the
11) Generally, a corporation is owned by the I. Managers II. Board of Directors III. Stock holders IV. stake holders
12) A firm’s investment decision is also called the
13) Conflicts between shareholders and managers’ interest is called
14) In the principle-agent framework
15) The risk that can be eliminated by diversification is called
16) The risk that cannot be eliminated by diversification is called
17) Which from the following is the safest investment?
18) The spread of possible outcomes of an investment returns is measured by
19) Risk is best judged in
20) In a well-functioning markets two investments that offer the same payoff must have the same
21) The mixture of debt and equity, used to finance a corporation is also known as
22) The present value of $100 expected in two years from today at a discount rate of 5% is
23) What will be value of $100 after two years, if the interest rate during this period is 5%?
24) Investors require higher return on
25) In a well-functioning capital market if the firm pays no taxes then what is better about borrowing?
26) Corporations can return cash to their shareholders by
27) Which from the following is true about stock repurchases?
28) What should be the goal of a corporation?
29) The money a investor receive for taking on a risk is called
30) An asset that pays a fixed amount of cash each year for a specified number of years is called
31) Net Present Value is calculated as
32) An investment should be accepted if its NPV is
33) The ratio between the amount of profit and investment is called the
34) An investment should be accepted if
35) Governments and corporations issue bonds to
36) Regular interest payment to the bond holders is called
37) At maturity the bond holders get back their principal. The principal is called
38) Any economic resource that can produce economic value to the holder is called
39) A collection of assets held by an investor is called
40) The risk of a well-diversified portfolio depends on the __________ of the securities included in the portfolio.
41) The contribution of an individual security to the risk of a well-diversified portfolio is measured by?
42) The sensitivity of an asset to the market movements is called
43) The average beta of all stocks in a market is
44) If the daily prices of a stock on 20 and 21 January are 90 and 100 respectively, then what is the daily rate of return?
45) According to the MM proposition, dividend policy is
46) In portfolio analysis __________ curves play an important role.
47) If stock prices increases, dividend yield
48) According to residual dividend policy, a firm should pay a dividend of all left over when
49) The value of probability is always between __________ (inclusive).
50) The value of correlation is always between __________ (inclusive).