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This set of Strategic Financial Management Multiple Choice Questions & Answers (MCQs) focuses on Strategic Financial Management Set 1

Q1 | A set of guidelines about dividend is known as _____ _____.
  • dividend policy
  • profit
  • loss
  • expenses
Q2 | There are two approaches to dividend policy _____ _____.
  • relevance, irrelevance
  • final dividend
  • interims dividend
  • annual dividend
Q3 | XBRL stands for _____ _____ _____ _____.
  • u.s securities exchange communication adopted a final rule for adoption
  • ifsb released an expanded ifrs, xbrl
  • extensible business reporting language
  • ifar
Q4 | XBRL presents solution to _____ problem.
  • registered company
  • government corporation
  • communication
  • unregistered company
Q5 | The project with _____ co-efficient of variation should be selected.
  • lesser
  • management
  • higher
  • medium
Q6 | Under standard deviation _____ of cash flow is ascertained.
  • dispersion
  • subjective
  • objective
  • comparative
Q7 | Capital rationing is selection of investment proposal under _____.
  • constraint
  • weakness of capital market
  • funds are scare today
  • very strong
Q8 | _____ provides details of compliance of corporate governance.
  • annual report
  • board of directors
  • independent audit committee
  • employees
Q9 | Investment in venture capital fund carries _____% risk.
  • 1.5
  • 2
  • 1
  • 0.5
Q10 | MPBF refers to
  • maximum permissible bank finance
  • minimum permissible bank financ
  • bank overdraft
  • cash credit
Q11 | Ploughing back of profit means
  • declaration of dividend
  • retainning profits
  • re-investing profits
  • building reserves
Q12 | The first taxonomy for financial reporting was released on
  • 30th june,2003
  • 31st july,2000
  • 26th january, 2003
  • 15th august, 2009
Q13 | Banks in India have to achieve C.A. Ratio of
  • 9%
  • 15%
  • 5%
  • 10%
Q14 | Amalgamation is governed by
  • as 14
  • as 3
  • as 21
  • as 32
Q15 | The % of provision required on sub-standard asset on secured portion is:
  • 15%
  • 12%
  • 10%
  • 5%
Q16 | The % of provision on unsecured portion of doubtful asset is:
  • 125%
  • 100%
  • 75%
  • 25%
Q17 | Cash credit and overdrafts is considered as NPA when is remains out of order for more than:
  • 90 days
  • 30 days
  • 60 days
  • 45 days
Q18 | The models known as bird in the hand argument
  • gordon\s model
  • walter\s model
  • fayol’s model
  • henry model
Q19 | Loans upto Rs. 1,00,000 against gold and silver ornaments carry risk
  • 50%
  • 10%
  • 100%
  • 20%
Q20 | Provision for standard asset in respect of advances to commercial Real Estate sector is
  • 1%
  • 2%
  • 2%
  • 0%
Q21 | The policy in which less dividend is paid is
  • liberal dividend policy
  • conservative dividend policy
  • stable dividend policy
  • fluctuating dividend policy
Q22 | Present Value of a Rupee is always:
  • equal to its future value.
  • greater than its future value.
  • less than its future value
  • is not related to its future value
Q23 | An ideal current ratio must be------
  • 2 : 1
  • 1 : 2
  • 1 : 1
  • 2.5 : 1
Q24 | The abbreviation "IPO" stands for-----
  • indian public offer
  • indian post office
  • initial private offer
  • initial public offering.
Q25 | …... shares are issued free of cost
  • equity
  • rights
  • preference.
  • bonus