11. Positive NPV in project appraised by a firm may not occur an account of
12. Match List-I with List-II and select the correct answer:
List-I
List-II
a. Realised yield method
1. Cost of equity share capital
b. Taxation
2. Cost of equity capital
c. Cost of total capital employed
3. Cost of debt capital
d. Dividend growth is a consideration
4. Weighted cost of capital
| List-I | List-II |
| a. Realised yield method | 1. Cost of equity share capital |
| b. Taxation | 2. Cost of equity capital |
| c. Cost of total capital employed | 3. Cost of debt capital |
| d. Dividend growth is a consideration | 4. Weighted cost of capital |
13. Which of the following statement(s) is/are false?
1. Capital profits can never be distributed as dividends to the shareholders.
2. Dividends are paid out of profits and, therefore, do not affect the liquidity position of the firm.
3. Every company should follow the policy of low dividend payment.
4. Walter's model suggests that dividend payment dose not affect the market price of the share.
Choose the correct answer
1. Capital profits can never be distributed as dividends to the shareholders.
2. Dividends are paid out of profits and, therefore, do not affect the liquidity position of the firm.
3. Every company should follow the policy of low dividend payment.
4. Walter's model suggests that dividend payment dose not affect the market price of the share.
Choose the correct answer
14. Operational techniques include
15. Which of the following statement is false?
16. Which of the following is an assumption of the APT?
17. Which of the following are the examples of systematical risk.
1. Elimination of Government Subsidy
2. Increase in bank rate
3. Labour problem
4. High levered fund
Select the correct answer:
1. Elimination of Government Subsidy
2. Increase in bank rate
3. Labour problem
4. High levered fund
Select the correct answer:
18. A company has issued 10% perpetual debt of Rs. 1,00,000 at 5% premium. If tax rate is 30%, then the cost of debt will be
19. Which one of the following is the most popular method for estimating the cost of equity?
20. Assertion (A): A furores contract specifies in advance the exchange rate to be used, but it is not as flexible as a forward contract.
Reason (R): A futures contract is for a specific currency amount and a specific marurity date.
Reason (R): A futures contract is for a specific currency amount and a specific marurity date.
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