Financial Management By Heena Malhotra
Dec 2014 Paper 3 By Heena Malhotra
30, When a fim uses more short-term financing, than that required to finance, the temporary or variable current assets, the firm is said to follow: (A) a conservative approach of financing (B) an aggressive approach of financing (C) amatching approach of financing (D) a moderate approach of financing By Heena Malhotra
June 201.5 Paper 2 By Heena Malhotra
16. State the price of the share for the year t, if the rate of growth of the firm is 10%, EPS and DPS for the year t+1,aref3 andV2 respectively and the investors' required rate of return is 20%. (1) 30 (2) 120 (3) 25 (4) 10 By Heena Malhotra
17. In swhich of the olof aital udgetin th use of varying opportunity cost of capital as a discount factor is possible? a)NPV (b) I (1) Only (a) is corect (3) (b) and (d) both are correct. 4) Only ( is correct. Pay-lack Period (d) ARR (a) and (b) both are correct. IRR (2) By Heena Malhotra
18. According to the CAPM model, the cost of equity is represented by 3) +(R-R WhereRn indicates market rate of returm, R ndicaes risk free rate of return and Pindicates beta of stock j By Heena Malhotra
Anticipated annual dividend divided by the market price of the stock is referred as: (1) Dividend Pay-out 3)Return on Equity ) Regular dividend 19. (2) Dividend yield (4) Regular dividend By Heena Malhotra
20. If the existing shareholder does not exercise his/her right or does not sell the right entitlement: (1) his/her wealth will remain unaffected (2) his/her wealth will increase (3) his/her wealth will decrease (4) his/her wealth may increase or decrease By Heena Malhotra