A. Rise in marginal cost of capital
B. Fall in marginal cost of capital
C. Rise in transaction cost of capital
D. Rise in transaction cost of capital
Related Mcqs:
- In large expansion programs, the increased riskiness and the floatation cost associated with project can cause ___________?
A. rise in marginal cost of capital
B. fall in marginal cost of capital
C. rise in transaction cost of capital
D. rise in transaction cost of capital - The situation in which one project is accepted while rejecting an other project in comparison is classified as __________?
A. present value consent
B. mutually exclusive
C. mutual project
D. mutual consent - The bonds that are backed by cash flow from project and are sold to finance particular project are classified as ____________?
A. finance bonds
B. revenue bonds
C. financing bonds
D. project bonds - A risk associated with project and way considered by well diversified stockholder is classified as______________?
A. Expected risk
B. Beta risk
C. Industry risk
D. Returning risk - Payback period in which an expected cash flows are discounted with help of project cost of capital is classified as___________________?
A. Discounted payback period
B. Discounted rate of return
C. Discounted cash flows
D. Discounted project cost - Present value of future cash flows is divided by an initial cost of project to calculate_______?
A. Negative index
B. Exchange index
C. Project index
D. Profitability index - Risk which is caused by events such as strikes, unsuccessful marketing programs and other lawsuits is classified as____________?
A. Stock risk
B. Portfolio risk
C. Diversifiable risk
D. Market risk - A discount rate which is equal to the present value of TV to the project cost present value is classified as _________?
A. negative internal rate of return
B. modified internal rate of return
C. existed internal rate of return
D. relative rate of return - The payback period in which an expected cash flows are discounted with the help of project cost of capital is classified as __________?
A. discounted payback period
B. discounted rate of return
C. discounted cash flows
D. discounted project cost - The present value of future cash flows is divided by an initial cost of the project to calculate __________?
A. negative index
B. exchange index
C. project index
D. profitability index