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The more frequent the compounding, the higher the future value, other things equal.

a. True
b. False

2. For a given amount,the lower the discount rate,the less the present value.

a. True
b. False

3. Systematic Risk can be totally eliminated in a portfolio through diversification.

a. True
b. False

4. Capital structure decisions refer to the

a. dividend yield of the firm's stock
b. blend of equity and debt used by the firm.
c. capital gains available on the firms stock.
d. maturity date of the firms securities.
e. None of the above is a correct answer.

5. Which of the following is a key determinant of financial leverage?

a. Level of debt.
b. Technology.
c. Labor costs.
d. Amount of fixed assets used by the firm.
e. Variable cost of goods sold.

6. Given some amount to be received several years in the future, if the interest rate increases, the present value of the future amount will be

a. Higher.
b. Lower.
c. Stay the same.
d. Cannot tell.
e. Variable.

7. Which of the following statements is false?

a. If the discount (or interest) rate is positive, the future value of an expected series of payments will always exceed the present value of the same series.
b. To increase present consumption beyond present income normally requires either the payment of interest or else an opportunity cost of interest foregone.
c. Disregarding risk, if money has time value, it is impossible for the present value of a given sum to be greater than its future value.
d. Disregarding risk, if the present value of a sum is equal to its future value, either k = 0 or t = 0.
e. Each of the above statements is true.

8. The greater the number of compounding periods within a year, the greater the future value of a lump sum invested initially, and the greater the present value of a given lump sum to be received at maturity.

a. True
b. False

9. All other factors held constant, the present value of a given annual annuity decreases as the number of discounting periods per year increases.

a. True
b. False

10. The process of discounting or finding the present value of a cash flow to be received in the future is really the same as compounding.

a. True
b. False

11. A major disadvantage of the payback period method is that it

a. Is useless as a risk indicator.
b. Ignores cash flows beyond the payback period.
c. Does not directly account for the time value of money.
d. All of the above are correct.
e. Only answers b and c are correct.

12. The internal rate of return is that discount rate which equates the present value of the cash outflows (or costs) with the future value of the cash inflows.

a. True
b. False

13. One of the advantages of the payback period (either regular or discounted) is that it considers all cash flows throughout the entire life of a project.

a. True
b. False

14. The primary function of the capital budget is to forecast the funds required for future investments that must be raised through external funding, that is, by selling stock or bonds.

a. True
b. False

15. A firm should never undertake an investment if accepting the project would cause an increase in the firm's required rate of return.

a. True
b. False

16. The mix of debt, preferred stock, and common equity with which the firm plans to support its asset structure is known as the target capital structure.

a. True
b. False

17. Financial risk refers to the extra risk stockholders bear as a result of the use of debt as compared with the risk they would bear if no debt were used.

a. True
b. False

18. If Miller and Modigliani had considered the cost of bankruptcy, it is unlikely that they would have concluded that 100 percent debt financing is optimal for the firm.

a. True
b. False

19. An investor's ability and willingness to accept risk is termed:

a. Risk aversion.
b. Risk seeking.
c. Risk tolerance level.
d. Risk-free rate of return.
e. None of the above.

20. Fundamental analysts primarily base their investment decisions on analyses of supply and demand relationships that influence trends in price movements in stocks and general financial market conditions.

a. True
b. False
21. The dividend discount model (DDM) can only be used to value a company's stock if it is expected that the company will pay a dividend that grows at a constant rate in the future.

a. True
b. False

22. The total return earned from the time an investment is purchased until it is liquidated is called a(n)______________.

a. Ask yield
b. Current yield
c. Holding period return
d. Coupon rate
e. Dividend yield rate

23. There is an inverse relationship between bond ratings and the required return on a bond. The required return is lowest for AAA rated bonds, and required returns increase as the ratings get lower (worse).

a. True
b. False

24. A junk bond is a high risk, high yield debt instrument typically used to finance a leveraged buyout or a merger, or to provide financing to a company of questionable financial strength.

a. True
b. False

25. The terms and conditions to which a bond is subject are set forth in its

a. Debenture.
b. Underwriting agreement.
c. Indenture.
d. Restrictive covenants.
e. Call provision.

26. A call provision gives bondholders the right to demand, or "call for," repayment of a bond. Typically, calls are exercised if interest rates rise, because when rates rise the bondholder can get the principal amount back and reinvest it elsewhere at higher rates.

a. True
b. False

27. Suppose you put $100 into a savings account today, the account pays a simple annual interest rate of 6 percent, but compounded semiannually, and you withdraw $100 after 6 months. What would your ending balance be 20 years after the initial $100 deposit was made?

a. $226.20
b. $115.35
c. $ 62.91
d. $ 9.50
e. $ 3.00

28. Calculate the future value of $100,000 fifteen years from today based on the following interest rates:

a. 3 percent
b. 6 percent
c. 9 percent
d. 12 percent

29. Calculate the present of $25,000 20 years from today based on the following annual discount rates:

a. 3 percent
b. 6 percent
c. 9 percent
d. 12 percent
1. The more frequent the compounding, the higher the future value, other things equal.

a. True
b. False

2. For a given amount,the lower the discount rate,the less the present value.

a. True
b. False

3. Systematic Risk can be totally eliminated in a portfolio through diversification.

a. True
b. False

4. Capital structure decisions refer to the

a. dividend yield of the firm's stock
b. blend of equity and debt used by the firm.
c. capital gains available on the firms stock.
d. maturity date of the firms securities.
e. None of the above is a correct answer.

5. Which of the following is a key determinant of financial leverage?

a. Level of debt.
b. Technology.
c. Labor costs.
d. Amount of fixed assets used by the firm.
e. Variable cost of goods sold.

6. Given some amount to be received several years in the future, if the interest rate increases, the present value of the future amount will be

a. Higher.
b. Lower.
c. Stay the same.
d. Cannot tell.
e. Variable.

7. Which of the following statements is false?

a. If the discount (or interest) rate is positive, the future value of an expected series of payments will always exceed the present value of the same series.
b. To increase present consumption beyond present income normally requires either the payment of interest or else an opportunity cost of interest foregone.
c. Disregarding risk, if money has time value, it is impossible for the present value of a given sum to be greater than its future value.
d. Disregarding risk, if the present value of a sum is equal to its future value, either k = 0 or t = 0.
e. Each of the above statements is true.

8. The greater the number of compounding periods within a year, the greater the future value of a lump sum invested initially, and the greater the present value of a given lump sum to be received at maturity.

a. True
b. False

9. All other factors held constant, the present value of a given annual annuity decreases as the number of discounting periods per year increases.

a. True
b. False

10. The process of discounting or finding the present value of a cash flow to be received in the future is really the same as compounding.

a. True
b. False

11. A major disadvantage of the payback period method is that it

a. Is useless as a risk indicator.
b. Ignores cash flows beyond the payback period.
c. Does not directly account for the time value of money.
d. All of the above are correct.
e. Only answers b and c are correct.

12. The internal rate of return is that discount rate which equates the present value of the cash outflows (or costs) with the future value of the cash inflows.

a. True
b. False

13. One of the advantages of the payback period (either regular or discounted) is that it considers all cash flows throughout the entire life of a project.

a. True
b. False

14. The primary function of the capital budget is to forecast the funds required for future investments that must be raised through external funding, that is, by selling stock or bonds.

a. True
b. False

15. A firm should never undertake an investment if accepting the project would cause an increase in the firm's required rate of return.

a. True
b. False

16. The mix of debt, preferred stock, and common equity with which the firm plans to support its asset structure is known as the target capital structure.

a. True
b. False

17. Financial risk refers to the extra risk stockholders bear as a result of the use of debt as compared with the risk they would bear if no debt were used.

a. True
b. False

18. If Miller and Modigliani had considered the cost of bankruptcy, it is unlikely that they would have concluded that 100 percent debt financing is optimal for the firm.

a. True
b. False

19. An investor's ability and willingness to accept risk is termed:

a. Risk aversion.
b. Risk seeking.
c. Risk tolerance level.
d. Risk-free rate of return.
e. None of the above.

20. Fundamental analysts primarily base their investment decisions on analyses of supply and demand relationships that influence trends in price movements in stocks and general financial market conditions.

a. True
b. False
21. The dividend discount model (DDM) can only be used to value a company's stock if it is expected that the company will pay a dividend that grows at a constant rate in the future.

a. True
b. False

22. The total return earned from the time an investment is purchased until it is liquidated is called a(n)______________.

a. Ask yield
b. Current yield
c. Holding period return
d. Coupon rate
e. Dividend yield rate

23. There is an inverse relationship between bond ratings and the required return on a bond. The required return is lowest for AAA rated bonds, and required returns increase as the ratings get lower (worse).

a. True
b. False

24. A junk bond is a high risk, high yield debt instrument typically used to finance a leveraged buyout or a merger, or to provide financing to a company of questionable financial strength.

a. True
b. False

25. The terms and conditions to which a bond is subject are set forth in its

a. Debenture.
b. Underwriting agreement.
c. Indenture.
d. Restrictive covenants.
e. Call provision.

26. A call provision gives bondholders the right to demand, or "call for," repayment of a bond. Typically, calls are exercised if interest rates rise, because when rates rise the bondholder can get the principal amount back and reinvest it elsewhere at higher rates.

a. True
b. False

27. Suppose you put $100 into a savings account today, the account pays a simple annual interest rate of 6 percent, but compounded semiannually, and you withdraw $100 after 6 months. What would your ending balance be 20 years after the initial $100 deposit was made?

a. $226.20
b. $115.35
c. $ 62.91
d. $ 9.50
e. $ 3.00

28. Calculate the future value of $100,000 fifteen years from today based on the following interest rates:

a. 3 percent
b. 6 percent
c. 9 percent
d. 12 percent

29. Calculate the present of $25,000 20 years from today based on the following annual discount rates:

a. 3 percent
b. 6 percent
c. 9 percent
d. 12 percent

© BrainMass Inc. brainmass.com October 16, 2018, 8:56 pm ad1c9bdddf
https://brainmass.com/business/capital-budgeting/multiple-choice-166293

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Amino acids multiple choice questions

Which statement is incorrect about the classification of amino acids?
a. Alanine and valine are neutral, nonpolar amino acids.
b. Lysine and arginine are basic amino acids.
c. Tryptophan and phenylalanine are aromatic amino acids.
d. Aspartic acid and aspargine are acidic amino acids.

Which of the following amino acids is the least water soluble at pH 7.0?
a. Tryptophan
b. Glutamic acid
c. Cysteine
d. Histidine

Which amino acid would migrate the furthest toward the anode (positive electrode) during paper electrophoresis at pH 7.0?
a. Aspartic acid
b. Alanine
c. Lysin
d. Glutamine

Which of the following functional groups, attached to an inert matrix, could function as a cation exchanger?
a. Diethylaminoethyl-
b. p-aminobenzyl-
c. Carboxymethyl-
d. Trimethylammonium-

Which of the following amino acids would make the best buffer at pH 4.5?
a. Histidine
b. Alanine
c. Glutamine
d. Aspartic acid

Which fact is incorrect about stereoisomers?
a. A diastereomer is a nonsuperimposable non-mirror image.
b. An enantiomer is a nonsuperimposible mirror image.
c. Diastereomers have different melting points.
d. Diastereomers rotate plane polarized light in equal but opposite direction.

Which statement is incorrect about L-isoleucine?
a. Its enantiomer is named O-isoleucine.
b. It contains a total of two asymmetric or chiral carbons.
c. It can also be named as (28, 38)-isoleucine using the (R,8) system.
d. Its diastereomer would be named O-alloisoleucine.

An isoelectric amino acid was dissolved in water and the resulting pH was approximately 7.6. What amino acid would possess this property?
a. Alanine
b. Glutamic acid
c. Histidine
d. Lysine

What volume of NaOH is required to adjust the solution of monosodium aspartate to pH 9.8?
a. 1 ml
b. 2 ml
c. 3 ml
d. 6 ml or more

What volume of 2 N Hel is required to completely titrate the 4 mmol of monosodium aspartate?
a. 2 ml
b. 3ml
c. Aml
d. 6 ml or more

Which statement is correct about the peptide ala-ser?
a. Alanine is at the N-terminal of the peptide.
b. There are a total six atoms that lie in the plane of the peptide bond linking alanine to serine.
c. The alpha-carbon of alanine is sp3 hybridized d All the above are correct statements.

What is the product formed from the acid hydrolysis of a simple amide?
a. Acid & base
b. Aldehyde & alcohol
c. Acid & amine
d. Ester & alcohol

The complete acid hydrolysis of the peptide ala-gln-trp-ser would yield:
a. Ala, gin, trp, ser
b. Ala, glu, ser
c. Ala, glu, trp, ser
d. Ala. ser

Fibrous proteins, such as collagen, have which of the following properties?
a. Highly soluble in water
b. Their hydrophilic residues are directed into the interior of the protein
c. Exhibit enzymatic activity
d. Serve structural roles in the cell

Quaternary structure is associated with:
a. The overall shape of a polypeptide chain
b. The sum of the secondary and tertiary interactions
c. Simple proteins with only one subunit
d. The relative orientation of one polypeptide to another polypeptide in a multi-subunit protein.

The information needed to define the structure of a protein is essentially contained in:
a. Amino acid composition
b. Amino acid sequence
c. Secondary structure
d. Tertiary structure.

Insulin is a polypeptide hormone that contains two short polypeptide chains linked by two interstrand disulfide bonds. The most logical order of events to perform in order to sequence this protein would be:
A: The peptides are reduced with mercaptoethanol.
B: The peptides are sequenced using Edman chemistry .
C: The peptides are separated by chromatography techniques. 0: The peptides are alkylated with iodoacetamide.
a. A, D,C, B b.C,A, 0, B
c. C, B, A, 0
d. A, B, C, 0

Which statement is incorrect about the peptide val-asp-trp-asn-ser?
a. This peptide would show a strong absorption band at 280 nm.
b. Reaction with chymotrypsin would yield two peptides.
c. To synthesize this peptide using the solid phase method of Merrifield, the amino acid directly attached to the resin would be serine.
d. After the second round of Edman chemistry using the reagent PITC, the PTH -amino acid residue released would be PTH-asn.

Which statement is incorrect about the reaction of the peptide ser-Iys-asp-trp-cys-metasn-phe-ala with the following reagents?
a. Reaction with cyanogens bromide would yield two peptides.
b. Reaction with trypsin would result in three peptides. The smallest of three peptides would have the highest pi of the three.
c. Reaciton with chymotrypsin would result in the peptides ser-Iys-asp & try-cys-met-Iysasn-phe-ala .
d. Reaction with chymotrypsin would yield a different set of peptides that overlap those obtained with tryspsin

Determine the amino acid sequence of the following oligopeptide from the experimental data below:
The amino acid composition is found the be ala, Iys, phe, met, cys plus some
decompsition products.
2. The peptide has a molecular weight around 700 Da and absorbs at 280 nm.
3. Treatment with carboxypeptidase results in tryptophan and a peptide.
4. CNBr treatment yields a tetrapeptide and a dipeptide.
5. Trypsine digestion produces an amino acid and a pentapeptide with met on the amino end.
6. Chymotrypsin digestion yields a dipeptide and a tetrapeptide.
a. trp-Iys-met-cys-met-ala
b. Iys-met-cys-phe-ala-trp
c. trp-ala-phe-cys-met-Iys
d. Iys-ala-cys-phe-met -trp

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