Free Cash Flow Notes Questions with Answers PDF Download – Test 131

MCQ 651: An operating cash flows is $12000 and the gross fixed asset expenditure is $5000 then the free cash flow will be:

1. −$7000
2. 7000
3. 17000
4. −$17000

MCQ 652: The movement of price or the rise or fall of prices of options is classified as:

1. option lattice
2. pricing movement
3. price change
4. binomial lattice

MCQ 653: Earnings before interest, taxes, depreciation and amortization average multiple for publicly traded companies is classified as:

1. entity multiple
2. depreciation multiple
3. earnings multiple
4. amortization multiple

MCQ 654: The variability of stock price, option term to maturity and the risk free rate are the dependents of:

1. price of an option
2. expiry of an option
3. exercise of an option
4. estimation of an option

MCQ 655: An increase in marginal cost of capital and the capital rationing are two arising complications of:

1. maximum capital budget
2. greater capital budget
3. optimal capital budget
4. minimum capital budget