This quiz works best with JavaScript enabled. Home > Finance > Management > Financial Management > Financial Management – Quiz 69 🏠 Homepage 📘 Download PDF Books 📕 Premium PDF Books Financial Management Quiz 69 (30 MCQs) Quiz Instructions Select an option to see the correct answer instantly. 1. Company Financial Management regulates A) Funding Activities. B) Investment Activities. C) Dividend Policy. D) All the answers above are correct. Show Answer Correct Answer: D) All the answers above are correct. 2. You dream of endowing a chair in finance at the local university that will provide a salary of $ 150, 000 per year forever, with the first cash flow to be one year from today. If the university promises to invest the money at a rate of 5% per year, how much money must you give the university today to make your dream a reality? A) $ 15, 000, 000. B) $ 2, 857, 143. C) $ 3, 000, 000. D) This question cannot be answered. Show Answer Correct Answer: C) $ 3, 000, 000. 3. How are "creditors" different from "debtors" in a company's financial statements? A) Creditors represent money owed to the company; debtors represent money the company owes. B) Creditors represent money the company owes; debtors represent money owed to the company. C) Creditors and debtors are terms used interchangeably in accounting. D) Creditors represent long-term debts; debtors represent short-term debts. Show Answer Correct Answer: B) Creditors represent money the company owes; debtors represent money owed to the company. 4. What is the compound value of Rs. 10, 000 at the end of 3rd year at 12% interest when interest is calculated on quarterly basis? A) 13500. B) 14260. C) 14050. D) 15430. Show Answer Correct Answer: B) 14260. 5. According to financial experts, what portion of your income should be devoted to needs? A) 50. B) 20. C) 30. D) None of above. Show Answer Correct Answer: A) 50. 6. An accounting period is NOT the period of time reflected by a accounting report. A) True. B) False. Show Answer Correct Answer: B) False. 7. The company's liabilities divided by the owner's equity is the current ratio. A) False. B) True. Show Answer Correct Answer: A) False. 8. When do you accept a project based on the Net Present Value calculation. A) Positive NPV. B) Negative NPV. C) NPV = 0. D) None of above. Show Answer Correct Answer: A) Positive NPV. 9. If you work more than 40 hours per week, what is the extra time called? A) Overtime pay. B) Net pay. C) Salary. D) Gross pay. Show Answer Correct Answer: A) Overtime pay. 10. A sheet of information in the form of a Table, Graph or Diagram A) Information. B) Chart. C) Form. D) Data. Show Answer Correct Answer: D) Data. 11. Increase in finished goods inventory A) Financing Activity. B) Investing Activity. C) Operating Activity. D) None of above. Show Answer Correct Answer: C) Operating Activity. 12. Someone who relies on another for financial support is called? A) Dependent. B) Couch potato. C) Taxpayer. D) Coach. Show Answer Correct Answer: A) Dependent. 13. What is one characteristic of Goals? A) Weird. B) Money. C) Bad. D) Dynamic. E) Family. Show Answer Correct Answer: D) Dynamic. 14. Certificate of deposit is issued by A) (a) Mutual fund companies. B) (b) Reserve Bank of India. C) C) Large Corporate House. D) D) Commercial bank and development financial institution. Show Answer Correct Answer: D) D) Commercial bank and development financial institution. 15. The financial activities which are performed only on special events like promotion. Amalgamation and solvency crisis are called as: A) Non-recurring finance functions. B) Recurring finance functions. C) Both of these. D) Both of these. Show Answer Correct Answer: A) Non-recurring finance functions. 16. Which of the following is NOT the key components of SMART financial goals? A) Time-bounded. B) Attainable. C) Measurable. D) Realistic. E) Salary. Show Answer Correct Answer: E) Salary. 17. Which one of these is an available tool to help calculute your net worth? A) Your net worth homework. B) Experian. C) Your cash. D) Credit Karma. E) A calculator. Show Answer Correct Answer: A) Your net worth homework. 18. A financial plan is failed to be carried out if A) Be discipline. B) Be flexible. C) Be patience. D) Spend more than the planned expenses. Show Answer Correct Answer: D) Spend more than the planned expenses. 19. What does the "M" mean in SMART goals? A) Money-management. B) Management. C) Measureable. D) Money. E) Marketing. Show Answer Correct Answer: C) Measureable. 20. For example, the totality value form A) Implement plans, carry out evaluations and continuous improvements. B) Committed, dedicated and continues to develop oneself to provide more value to work. C) Trust each other and work together to realize a shared vision. D) Agile and proactive to provide the best. Show Answer Correct Answer: B) Committed, dedicated and continues to develop oneself to provide more value to work. 21. What is a common strategy to improve cash flow? A) Delaying invoice payments. B) Implementing efficient billing practices. C) Offering longer credit terms. D) Increasing inventory levels. Show Answer Correct Answer: B) Implementing efficient billing practices. 22. These are mainly maintained by business community to facilitate frequent transaction with big amounts. A) Savings bank a/c. B) Fixed deposits. C) Recurring deposits a/c. D) Current a/c deposits. Show Answer Correct Answer: D) Current a/c deposits. 23. What role does a financial advisor play in business decision-making? A) Provides legal advice. B) Offers marketing strategies. C) Manages human resources. D) Gives financial guidance. Show Answer Correct Answer: D) Gives financial guidance. 24. ..... is the process of setting financial goals and developing plans to reach them. A) Financial planning. B) Budgeting. C) Financial forecasting. D) Creating an income statement. Show Answer Correct Answer: A) Financial planning. 25. Financil management process deals with A) Investments. B) Financing decisions. C) Both A & B. D) None of the above. Show Answer Correct Answer: B) Financing decisions. 26. A majority of employees in most businesses receive a weekly or monthly salary. A) True. B) False. Show Answer Correct Answer: B) False. 27. The period between initial outlay and anticipated return is called A) Degree of risk. B) Gestation period. C) Opportunity cost. D) Long term investment. Show Answer Correct Answer: B) Gestation period. 28. A legal document that sets forth your wishes regarding the distribution of your property ..... A) Living trust. B) Will. C) Executor. D) Probate. E) Benficiary. Show Answer Correct Answer: B) Will. 29. A ..... is a report of the balances in all assets, liability, and owner's equity accounts at the end of a accounting period A) Balance sheet. B) Financial statement. C) Income statement. D) Statement of cash flows. Show Answer Correct Answer: A) Balance sheet. 30. Your employer needs to have this form given to you by January 31st so you can file your taxes. A) W-2. B) W-4. C) 1040EZ. D) D-400. Show Answer Correct Answer: A) W-2. ← PreviousNext →Related QuizzesManagement QuizzesFinance QuizzesFinancial Management Quiz 1Financial Management Quiz 2Financial Management Quiz 3Financial Management Quiz 4Financial Management Quiz 5Financial Management Quiz 6Financial Management Quiz 7Financial Management Quiz 8 🏠 Back to Homepage 📘 Download PDF Books 📕 Premium PDF Books