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Financial Management MCQs – Practice Test 9 (Chapter 2)

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Basics of Capital Budgeting Evaluating Cash Flows MCQs PDF Download – Practice Test 9

MCQ 41: The sum of discounted cash flows is best defined as:

  1. technical equity
  2. defined future value
  3. project net present value
  4. equity net present value

MCQ 42: The life that maximizes net present value of an asset is classified as:

  1. minimum life
  2. present value life
  3. economic life
  4. transaction life

MCQ 43: If two independent projects having hurdle rate then both projects should:

  1. be accepted
  2. not be accepted
  3. have capital acceptance
  4. have return rate acceptance

MCQ 44: The cash outflows are the costs of project and are represented by:

  1. negative numbers
  2. positive numbers
  3. hurdle number
  4. relative number

MCQ 45: In capital budgeting, two projects having cost of capital as 12% is classified as:

  1. hurdle rate
  2. capital rate
  3. return rate
  4. budgeting rate

Financial Management MCQs App & e-Book – Basics of Capital Budgeting Evaluating Cash Flows Study Guide

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Basics of Capital Budgeting Evaluating Cash Flows MCQs

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