Profitability Index Quiz Questions and Answers PDF Download eBook
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"The profitability index in capital budgeting is used for", profitability index Multiple Choice Questions (MCQ) with choices relative projects, negative projects, evaluate projects, and earned projects to study online certification courses. Learn basics of capital budgeting evaluating cash flows questions and answers with free online certification courses for accredited online business administration degree.
Quiz on Profitability Index PDF Download eBook
MCQ: The profitability index in capital budgeting is used for
- negative projects
- relative projects
- evaluate projects
- earned projects
C
MCQ: The net operating profit after taxes is $4500, the net investment in operating capital is $8500 and then the free cash flow would be
- −$4000
- 4000
- −$18000
- 18000
A
MCQ: A company that sells products to customer without demanding immediate payment but record it in balance sheet as
- account payable
- account receivable
- account equivalent
- account investment
B
MCQ: The third step in calculating value of stock with non-constant growth rate is to find
- p.v of expected dividends
- f.v of expected dividends
- p.v of intrinsic rate
- f.v of intrinsic rate
A
MCQ: The probability distribution is classified as normal if expected return lies between
- ( + 1 and -1)
- ( + 2 and -2)
- ( + 3 and -3)
- ( + 4 and -4)
A