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ACCA Financial Management FM Exam Practice Questions 2023 - Part 9
1. In finance, 'working capital' means the same thing as __________.
A) Total assets.
B) Fixed assets.
C) Current assets.
D) Current assets minus current liabilities.
2. Earlier a debt equity norm of _______ was generally insisted on by the controller of capital issues.
A) 1:1
B) 1:2
C) 2:1
D) 2:2
3. The market value of the firm is the result of__________.
A) Dividend decisions.
B) Working capital decisions
C) Capital budgeting decisions.
D) Trade-off between risk and return.
4. Long term finance is required for ______________.
A) Current assets.
B) Fixed assets.
C) Intangible assets.
D) None of these.
5. _____________ is not a diversifiable or specific risk factor.
A) Company strike.
B) Bankruptcy of a major supplier.
C) Death of a key company officer.
D) Industrial recession.
1. Right Answer: C
Explanation:
2. Right Answer: C
Explanation:
3. Right Answer: D
Explanation:
4. Right Answer: B
Explanation:
5. Right Answer: D
Explanation:
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