Q. The performance report supplement with date on non-financial performance measures includes ------------------
✅ Correct Answer: (D)
All of these
Financial Management MCQs and Notes
Q. The present value of all inflows are cumulated in -------------------
✅ Correct Answer: (C)
Order of investment
Q. The proposal is rejected in case the profitability index is ------------
✅ Correct Answer: (A)
Less than one
Q. The proposal is accepted if the profitability index is more than -----
✅ Correct Answer: (A)
One by zero
Q. The present value of total cash inflows should be compared with present value of ----------------------
✅ Correct Answer: (B)
Cash outflows
Q. Projects which yields the highest earnings are ------------------
✅ Correct Answer: (A)
Selected
Q. If a project requires Rs.20,000 as initial investment and it will generate an annual inflow of Rs.2,000 for the 20 years, the pay back period will be ------------------
✅ Correct Answer: (A)
10 years
Q. If the annual cash inflows are constant, the payback period can be computed by dividing cash outlay by ----------------
✅ Correct Answer: (D)
Annual sales flows
Q. Which is the time adjusting method of capital budgeting
✅ Correct Answer: (D)
All of these
Q. Which is the traditional method of capital budgeting
✅ Correct Answer: (D)
All of these