Finance is a field that deals with the study of investments. It includes the dynamics of assets and liabilities over time under conditions of different degrees of uncertainty and risk. Finance can also be defined as the science of money management. Market participants aim to price assets based on their risk level, fundamental value, and their expected rate of return. Finance can be broken into three sub-categories: public finance, corporate finance and personal finance. Finance describes the management, creation and study of money, banking, credit, investments, assets and liabilities that make up financial systems, as well as the study of those financial instruments. Some people prefer to divide finance into three distinct categories: public finance, corporate finance and personal finance. There is also the recently emerging area of social finance. Additionally, the study of behavioral finance aims to learn about the more “human” side of a science considered by most to be highly mathematical.Just follow the Mcqs online quiz being dispatched over here with respect to your preparation for entry admission test NTS PPSC OTS PTS and missllenous job exams simultaneously.

Here we have large collection of Finance Mcqs for all Students and jobs test preparation purpose. These Finance Mcqs will be updated on daily basis and added more multiple choice question about Finance frequently.You can prepare your Finance Subject for different classes like 9th class, 10th class ,11th class 12th class exams, Entry Test like MCAT NTS ,OTS ,PTS ,BTS, GTS, Jobs Test,Recruitment Test like PPSC CSS FPSC SPSC KPPSC and interviews here.

Finance Mcqs Online With  Answers for NTS PPSC Entry Test Classes


Latest Finance Mcqs Online with Answers.

Which of the following ratios are intended to address the firm’s financial leverage?

A company having a current ratio of 1 will have ________ net working capital?

Product costs include which of the following?

Mr. Y and Mr. Z are planning to share their capital to run a business. They are going to employ which of the following type of business?

__ refers to the most valuable alternative that is given up if a particular investment is undertaken?

A model which makes an assumption about the future growth of dividends is known as?

The investment decision is the most important of the firm’s three major decisions, when it comes to?

___________ is concerned with the acquisition, financing, and management of assets with some overall goal in mind?

Which of the following set of ratios relates the market price of the firm’s common stock to selected financial statement items?

The market price of a firm’s stock represents the focal judgment of all market participants as to the value of the?

Which of the following is not a quality of IRR ?

Which of the following statement is CORRECT regarding compound interest?

Which of the following refers to the cash flows that result from the firm‟s day-to-day activities of producing and selling?

Base year of Pakistan for national accounting is:

Stakeholders include?

If a company revaluates its fixed assets, the current ratio of the company will?

In which of the following type of annuity, cash flows occur at the beginning of each period?

Profitability index (PI) rule is to take an investment, if the index exceeds?

The principal amount of a bond at issue is called?

__refers to the extent to which fixed-income securities (debt and preferred stock) are used in a firm’s capital structure?

A firm has paid out Rs. 150,000 as dividends from its net income of Rs. 250,000. What is the retention ratio for the firm?

Which of the following is measured by profit margin?

Finance is vital for which of the following business activity (activities)?

Which of the given area is NOT addressed by Business Finance?

Which of the following equation is known as Cash Flow (CF) identity?

The effect of purchasing power or inflation on present value is important because?

A series of constant cash flows that occur at the end of each period for some fixed number of periods is?

Which of the following set of ratios is used to assess a business’s ability to generate earnings as compared to its expenses and other relevant costs incurred during a specific period of time?

A portion of profits, which a company retains itself for further expansion, is known as?

Choose from the following a symptom which is not relating to “Over Trading”?

Which of the following measure reveals how much profit a company generates with the money shareholders have invested?

The process of determining the present value of a payment or a stream of payments that is to be received in the future is known as?

The Board of Directors sets company-wide policy and advices the CEO and other senior executies, who manage the company’s?

When real rate is high, all the interest rates tend to be?

Maximizing Shareholder wealth?

Between the two identical bonds having different maturity periods, the price of the ______ bond will change less than that of ______ bond?

An individual authorized by another person, called the principle, to act on the latter’s on behalf is known as an/a?

If you have Rs. 850 and you plan to save it for 4 years with an interest rate of 10%, what will be the future value of your savings?

Which of the following is a series of constant cash flows that occur at the end of each period for some fixed number of periods?

The difference between current assets and current liabilities is known as?

The conflict of interest between stockholders and management is known as?

Which of the following ratios are particularly interesting to short-term creditors?

If we were studying a sample of 100 students and their examination performance and if the standard deviation of the list of results was say 14, then we could calculated the standard error by?

Period costs include which of the following?

Which of the following ratios are particularly interesting to short term creditors?

In which type of market, new securities are traded?

Which of the following form of business organization is least regulated?

The most important item that can be extracted from financial statements is the actual ________ of the firm?

In which form of Business, owners have limited liability?

Standard Company had net sales of Rs. 750,000 over the past year. During that time, average receivables were Rs. 150,000. Assuming a 365-day year, what was the average collection period?

The Yield to Maturity of a bond is the same as?

During the accounting period, sales revenue is Rs. 25,000 and accounts receivable increases by Rs. 8,000. What will be the amount of cash received from customers for the period?

Which of the following is measured by retention ratio?

Profit maximization is the maximizing a firm’s Earning?

Which of the following item provides the important function of shielding part of income from taxes?

Business Finance addresses which of the following?

Rule of 72 as a short cut method is explained by the formula?

Net income available to stockholders is $125 and total assets are $1,096 then return on common equity would be?

Full Form of BCCI ?

Which of the following is known as the group of assets such as stocks and bonds held by an investor ?

Which of the following terms refers to the use of debt financing?

A company having a current ratio of 1 will have __________ net working capital?

A major facet of financial management involves providing the financing necessary to support?

Which of the following ratios are particularly interesting to shortterm creditors?

Corporate governance encompasses the relationship among a company’s?

Which of the following costs are reported on the income statement as the cost of goods sold?

In which type of business, all owners share in gains and losses and all have unlimited liability for all business debts?

Which of the following is the overall return the firm must earn on its existing assets to maintain the value of the stock?

Which of the following statement is considered as the accountant’s snapshot of firm’s accounting value as of a particular date?

All the constituencies with a stake in the fortunes of the company are termed as?

How many years will it take to pay off a Rs. 11,000 loan with a Rs. 1,241.08 annual payment and a 5% interest rate?

Which of the following ratios is NOT from the set of Asset Management Ratios?

Standard Corporation sold fully depreciated equipment for Rs.5,000. This transaction will be reported on the cash flow statement as a(n)?

Quick Ratio is also known as?

Which of the following is the process of planning and managing a firm‟s long-term investments?

Which of the following refers to the difference between the sale price and cost of inventory?

The use of Personal borrowing to alter the degree of financial leverage is called?

Agency theory suggests that managers(the agents), particularly those of large , publically-owned firms, may have different objectives from those of the?

Who of the following make a broader use of accounting information?

Which of the following is the cheapest source of financing available to a firm?

Annual cash dividends divided by annual earnings; or alternatively, dividends per share divided by earning per share is termed as?

Which of the following strategy belongs to restrictive policy regarding size of investments in current assets?

An Asset is ?

Which of the following statement about bond ratings is TRUE?

Balance Sheet is based upon which of the following formula?

You need Rs. 10,000 to buy a new television. If you have Rs. 6,000 to invest at 5 percent compounded annually, how long will you have to wait to buy the television?

The formula to calculate the present value of a single cash flow is given by?

Cash flow from assets involves which of the following component(s)?

Which one of the following terms refers to the risk arises for bond owners from fluctuating interest rates?

Average Accounting Return is a measure of accounting profit relative to?

The DuPont Identity tells us that Return on Equity is affected by?

Quick Ratio is also known as?

You just won a prize, you can either receive Rs. 1000 today or Rs. 1,050 in one year. Which option do you prefer and why if you can earn 5 percent on your money?

If you plan to save Rs. 5,000 with a bank at an interest rate of 8%, what will be the worth of your amount after 4 years if interest is compounded annually?

Having some overall goal in mind, financial management is concerned with?

Which of the following is a special case of annuity, where the stream of cash flows continues forever?

Which of the following relationships holds TRUE if a bond sells at a discount?

Which of the following statement is TRUE regarding debt?

The system by which companies are managed and controlled is known as?

In case of international business which of the given factor(s) must be considered?

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