This quiz works best with JavaScript enabled. Home > Management > Financial Management > Financial Management – Quiz 47 🏠 Homepage 📘 Download PDF Books 📕 Premium PDF Books Financial Management Quiz 47 (20 MCQs) Quiz Instructions Select an option to see the correct answer instantly. 1. If the present value of the cash flow X is $ 200, and the present value cash flow Y is $ 150, then the present value of the combined cash flow is: A) $ 200. B) $ 150. C) $ 350. D) $ 50. Show Answer Correct Answer: C) $ 350. 2. The T in SMART Goal Stands for A) Timely. B) Terrific. C) Tardy. D) None of above. Show Answer Correct Answer: A) Timely. 3. Are the following statements true or false? True False 1. Accounting profit is not the same as economic profit. 2. Profit takes account of risk. 3. Accounting profit can be manipulated by managers. A) True, False, False. B) True, False, True. C) False, False, True. D) True, True, False. Show Answer Correct Answer: B) True, False, True. 4. A firm gains access to contemporary market through an acquisition A) Hostile takeover. B) Acquisition premium. C) Market extension merger. D) Vertical merger. Show Answer Correct Answer: D) Vertical merger. 5. Chloe, Angel, and Xavier are planning to start a new venture. They are discussing the importance of financial planning in their business. Can you explain it to them? A) Financial planning is not important in their business. B) Financial planning is only important for their personal finance management. C) Financial planning is important in their business because it helps in determining their short and long-term financial goals and creating a balanced plan to meet those goals. D) Financial planning only helps in controlling the financial resources of their business. Show Answer Correct Answer: C) Financial planning is important in their business because it helps in determining their short and long-term financial goals and creating a balanced plan to meet those goals. 6. It is the study of how individuals or businesses evaluate investment opportunities, business proposals and business projects, and raise capital to fund them. A) Finance. B) Evaluating Investments. C) Financial Management. D) Financial Institution. Show Answer Correct Answer: A) Finance. 7. Public finance is the study of money management of individual. A) TRUE. B) FALSE . Show Answer Correct Answer: B) FALSE . 8. ..... money paid by the borrower for the use of money that was loaned to him/her A) Interest. B) Debt. C) Loan. D) Income. Show Answer Correct Answer: A) Interest. 9. Which technique in financial management enable us to take investment/expansion decisions? A) Capital Structure. B) Ratio Analysis. C) Working Capital Management. D) Capital Budgeting. Show Answer Correct Answer: D) Capital Budgeting. 10. What is the difference between load fund and no-load fund? A) Load fund is when you pay the fee intermittently while the no-load is when you pay it up-front. B) Load fund is when you pay a fee and no-load is when you don't pay a fee. C) Load fund is when you pay upfront and no-load is whne you pay at the end. D) Load fund is when you pay no fee and no-load is when you pay a fee. E) Load fund is when you pay the fee at the end while no-laod is when you pay upfront. Show Answer Correct Answer: C) Load fund is when you pay upfront and no-load is whne you pay at the end. 11. Under financial management a forecast of receipts and payments is made andthe shortage or sufficiency of ..... is ensured. A) Capital. B) Human resource. C) Material. D) All the above. Show Answer Correct Answer: A) Capital. 12. The contract evidencing the existence of partnership A) Service Contract. B) Articles of Partnership. C) Articles of Incorporation. D) Contract of Partnership. Show Answer Correct Answer: B) Articles of Partnership. 13. Dividends are paid on a ..... basis A) Monthy. B) Semesterly. C) Yearly. D) Quarterly. E) Daily. Show Answer Correct Answer: D) Quarterly. 14. Present value (PV) is the current value of a ..... sum of money or stream of cash flows given a specified rate of return. A) Present. B) Future. C) Small. D) Large. Show Answer Correct Answer: B) Future. 15. Things you can live without A) Wants. B) Needs. C) Plans. D) Goals. Show Answer Correct Answer: A) Wants. 16. In February 2020, Mr Daniel received a total income of RM4 500. His monthly fixed expenses and variable expenses are RM2 880 and RMx respectively. There is a negative cash flow of RM620. Calculate the value of x? A) 1 000. B) 3 500. C) 2 240. D) 3 880. Show Answer Correct Answer: C) 2 240. 17. Charged when a cardholder does not make the minimum monthly payment by the due date. A) Late-payment fee. B) Annual fee. C) Over-the-limit fee. D) You are so forgetful fee. Show Answer Correct Answer: A) Late-payment fee. 18. ..... allows business founders to harvest some of their wealth. A) Internal Public Offering. B) Initial Private Offering. C) Initial Public Offering. D) Internal Private Offering. Show Answer Correct Answer: C) Initial Public Offering. 19. The market price of a share of common stock is determined by: A) The board of directors of the firm. B) The stock exchange on which the stock is listed. C) The president of the company. D) Individuals buying and selling the stock. Show Answer Correct Answer: D) Individuals buying and selling the stock. 20. What is the main disadvantage of a sole proprietorship compared to a corporation? A) Unlimted liability of the owner. B) More costly to set up. C) More difficult taxation rules. D) More disclosure requirements to inform the public. Show Answer Correct Answer: A) Unlimted liability of the owner. ← PreviousNext →Related QuizzesManagement QuizzesFinancial Management Quiz 1Financial Management Quiz 2Financial Management Quiz 3Financial Management Quiz 4Financial Management Quiz 5Financial Management Quiz 6Financial Management Quiz 7Financial Management Quiz 8Financial Management Quiz 9 🏠 Back to Homepage 📘 Download PDF Books 📕 Premium PDF Books