Business Finance MCQ Questions and Solutions with Explanations | Commerce

A. Both 1 and 4

B. 1, 3 and 4

C. 2, 3 and 4

D. All of the above

A. Society for Worldwide Inter-bank Financial Telecommunications (SWIFT)

B. Special Drawing Rights (SDRs)

C. Multilateral Netting

D. Netting of Payments

A. When the quantity of a foreign-currency cash outflow is known, buy the currency forward

B. When the quantity of a foreign currency cash outflow is unknown, buy the currency forward

C. When the quantity of a foreign currency cash flow is partially known and partially uncertain, use a forward contract to hedge the known and unknown portions

D. when the quantity of a foreign currency cash inflow is known, buy the currency forward

A. Traditional Approach

B. Net Income Approach

C. Net Operating Income Approach

D. M-M Approach

A. Upward

B. Downward

C. First upward and then downward

D. We should use PVIF to get the answer

A. Total present value of cash inflow - Total present value of cash outflows

B. Total present value of cash outflow - Total present value of cash inflows

C. Total present value of cash outflows + Inflows

D. None of the above

A. forwards

B. options

C. futures

D. swaps

A. the cost of equity

B. marginal cost of capital

C. floatation cost

D. None of these

A. Value date

B. Clearing date

C. Maturity date

D. Transaction date

A. special purpose vehicle

B. asset reconstruction corporation

C. bank or NBFC

D. mortgage company