Financial Management Paper 69

1

Which of the following sources of funds has an Implicit Cost of Capital?






2

Marginal cost of capital is the cost of:






3

Cost of Redeemable Preference Share Capital is:






4

Debt Financing is a cheaper source of finance because of:






5

Cost of Equity Share Capital is more than cost of debt because:






6

Financial Leverage arises because of:






7

FL is zero if:






8

Operating leverage works when:






9

Higher OL is related to the use of higher:






10

Indifference Level of EBIT is one at which:






Result

Total Questions:
Correct Answers:
Wrong Answers:
Percentage: