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Financial Management MCQs (BBA Finance) From Textbook

Financial Management MCQs – Practice Test 7 (Chapter 5)

Cost of Capital Quiz with Answers PDF Download – Test 7

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Learn Cost of Capital Quiz Questions and Answers PDF for finance online credentials. Download the Cost of Capital Quiz PDF e-Book, Ch. 5-7 to learn Financial Management Course. Practice Bond Yield and Bond Risk Premium MCQs, Cost of Capital MCQ questions and answers PDF for finance online credentials. Free Financial Management Study App Download: Cost of Capital Quiz App to learn weighted average cost of capital, cost of capital for risk adjustment career test to strengthen business knowledge.

Download Financial Management Study App (iOS & Android) with MCQ: "Bond yield is 12% and the bond risk premium is 4.5% then the cost of common stock would be"; with answers: 0.075, 0.375, 0.155, and 2.67. Study Types of Financial Markets Quiz Questions, download Google Book (Free Chapter) for finance online credentials.

Cost of Capital Quiz – Practice Test 7 PDF Download

MCQ 31: The bond yield is 12% and the bond risk premium is 4.5% then the cost of common stock would be:

  1. 0.375
  2. 0.075
  3. 0.155
  4. 2.67

MCQ 32: The forecast by analysts, retention growth model and historical growth rates are the methods used for an:

  1. estimate future growth
  2. estimate option future value
  3. estimate option present value
  4. estimate growth ratio

MCQ 33: The premium which is considered as difference of expected return on common stock and current yield on Treasury bonds is called:

  1. current risk premium
  2. past risk premium
  3. beta premium
  4. expected premium

MCQ 34: An interest rate which is paid by the firm as soon as it issues the debt is classified as pre-tax:

  1. term structure
  2. market premium
  3. risk premium
  4. cost of debt

MCQ 35: The beta which is estimated as regression slope coefficient is classified as:

  1. historical beta
  2. market beta
  3. coefficient beta
  4. riskier beta

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