Financial Management: Corporate Life Cycle Quiz PDF: Questions and Answers - 71

MCQ 351: An unlimited liability is classified as liabilities of the

1. limited partners
2. general partners
3. venture partners
4. corporate partners

MCQ 352: An interest rate which is quoted by brokers, banks and other financial institutions is classified as

1. annuity rate
2. perpetuity rate
3. nominal rate
4. external rate of return

MCQ 353: In the call provision, it is stated that company will pay to issue an amount

1. higher than par value
2. lower than par value
3. equal to par value
4. zero to par value

MCQ 354: An investment outlay cash flow is $2000, an operating cash flow is $1500 and the salvage cash flow is $3000 then the free cash flow would be

1. 500
2. 2500
3. 0.065
4. 6500

MCQ 355: If the coupon rate is less than going rate of interest then the bond will be sold

1. seasoned par value
2. more than its par value
3. seasoned par value
4. at par value