In weighted average cost of capital, capital components are funds that usually offer by____________?

Related Mcqs:

1. In weighted average capital, capital structure weights estimation does not rely on value of__________?

   A. Investors equity B. Market value of equity C. Book value of equity D. Stock equity...

2. In weighted average cost of capital, rising in interest rate leads to_________________?

   A. Increase in cost of debt B. Increase capital structure C. Decrease in cost of debt D. Decrease capital structure...

3. Capital budgeting decisions are analyzed with help of weighted average and for this purpose____________?

   A. Component cost is used B. Common stock value is used C. Cost of capital is used D. Asset valuation is used...

4. Weighted average cost of debt, preferred stock and common equity is classified as_____________?

   A. Cost of salvage B. Cost of interest C. Cost of taxation D. Cost of capital...

5. Weighted average of probabilities is classified as____________?

   A. Average rate of return B. Expected rate of return C. Past rate of return D. Weighted rate of return...

6. Markets which bring closer institutions needing funds and with surplus funds are classified as______________?

   A. Financial markets B. Corporate institutions C. Hedge firms D. Retirement planners...

7. In capital budgeting, two projects having cost of capital as 12% is classified as __________?

   A. hurdle rate B. capital rate C. return rate D. budgeting rate...

8. An increase in marginal cost of capital and the capital rationing are two arising complications of __________?

   A. maximum capital budget B. greater capital budget C. optimal capital budget D. minimum capital budget...

9. Standard Company had net sales of Rs. 750,000 over the past year. During that time, average receivables were Rs. 150,000. Assuming a 365-day year, what was the average collection period?

   A. 5 days B. 36 days C. 48 days D. 73 days...

10. According to capital asset pricing model assumptions, investors will borrow unlimited amount of capital at any given___________?

    A. Identical and fixed returns B. Risk free rate of interest C. Fixed rate of interest D. Risk free expected return...