Stock Valuation in Finance Multiple Choice Questions (MCQ) PDF Download

MCQ 1: If an expected final stock price is $85 and an original investment is $70 then the value of expected capital gain would be

1. 15
2. −$15
3. 155
4. −$155

MCQ 2: An expected final stock price is $45 and an original investment is $25 then an expected capital gain will be

1. 75
2. −$75
3. −$20
4. 20

MCQ 3: An expected final stock price is $70 and an expected capital gain is $25 then an original investment would be

1. 45
2. −$45
3. 95
4. −$95

MCQ 4: The real rate of return, risk and expected inflation are the primary determinants of

1. minimum rate of return
2. accepted return
3. expected return
4. real risk free rate

MCQ 5: The calculation of formula in common stock valuation does not include

1. intrinsic value
2. dividend of stockholder
3. number of stock issued
4. expected growth rate