ACC501 Final Term Solved Quiz 3 Fall 2011

Acc 501 fall 2011 3rd solve quiz 6:25 pm 12/16/2011

Muhammad ibrar

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Q1. of 10 ( Start time: 07:10:45 PM ) Total Marks: 1

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

Agency problem

Interest conflict

Management conflict

Agency cost

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Q2. of 10 ( Start time: 07:12:12 PM ) Total Marks: 1

What will be the real rate if the nominal rate is 14% and the inflation rate is 6%?

6. 02%

7.55%

10. 0%
11. 3%

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Q3. of 10 ( Start time: 07:12:49 PM ) Total Marks: 1

The difference between current assets and current liabilities is known as: Surplus Asset Short-term Ratio

Working Capital

Current Ratio

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Q4. of 10 ( Start time: 07:14:13 PM ) Total Marks: 1

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?

6 years 12 years 24 years 48 years

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Q5. of 10 ( Start time: 07:15:43 PM ) Total Marks: 1

SNT Corporation has policy of paying a Rs. 6 per share dividend every year. If this policy is to continue indefinitely, what will be the value of a share of stock at a 15% required rate of return?

Rs. 30

Rs. 40

Rs. 50 Rs. 60

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Q6. of 10 ( Start time: 07:16:10 PM ) Total Marks: 1

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

Role of foreign exchange Balance of payments

Attitude of Governments

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Q7. of 10 ( Start time: 07:17:40 PM ) Total Marks: 1

Which of the following item(s) is(are) not included while calculating Operating Cash Flows?

Depreciation Interest Expenses related to firm’s financing of its assets

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Q8. of 10 ( Start time: 07:18:08 PM ) Total Marks: 1

SNT Inc. has net income of Rs. 300,000. How much is kept as retained earnings if the firm has a dividend payout ratio of 40%?

Rs. 30,000

Rs. 120,000

Rs. 180,000 Rs. 200,000

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