BAFM6102 - Midterm Quiz 1 - Attempt Review
BAFM6102 - Midterm Quiz 1 - Attempt Review
State Finished
Completed on Monday, 26 September 2022, 9:29 PM
Time taken 8 mins 32 secs
Marks 10.00/10.00
Grade 100.00 out of 100.00
Question 1
Correct
Select one:
a. net operating income approach
b. Intermediate Approach
c. Net Income approach
d. Modigliani and Miller Approach
Question 2
Correct
Select one:
a. Cost of capital
b. Return on debt
c. Total return
d. Cost of debt
Question 3
Correct
If you have a financial source that is required to be paid within ten years, this describes
Select one:
a. Short-term source
b. Medium-term source
c. Long-term source
d. Perpetual source
Question 4
Correct
Select one:
a. Return on debt
b. Cost of debt
c. Cost of capital
d. Total return
Question 5
Correct
This is the use of various financial instruments or borrowed capital, such as margin, to increase the potential return of an investment.
Select one:
a. leverage
b. efficiency
c. capital efficiency
d. efficacy
Question 6
Correct
Select one:
a. borrowed funds
b. Short-term source
c. Owner's funds
d. Long-term source
Question 7
Correct
This is the process in which a business determines and evaluates potential expenses or investments that are large in nature.
Select one:
a. Capital Budgeting
b. Financial Capital
c. Investment-expense Analysis
d. Monetary Management
Question 8
Correct
This is the required return on investment of the preferred shareholders of the company.
Select one:
a. Cost of preference share
b. Cost of capital
c. Return on Investment
d. Return on Preference share
Question 9
Correct
Select one:
a. Performance Review
b. Screening proposals
c. Observation of proposal making
d. Fixing property
Question 10
Correct
FLP Company has 1000 existing common shares. The market value of the share is Php 90 and the net earnings is Php 1,000. What is the cost
of Capital assuming that the new shares will be issued at market price?
Select one:
a. 1.11%
b. 0.11%
c. 0.01%
d. 11.11%