1. Nations conduct international trade because

2. The return after the pay-off period is not considered in case of

3. Trading on Equity is situation where the ROI is more than ---- rate

4. The Purchasing Power Parity should hold

5. A company is considering a project which has an initial outflow followed by several years of cash inflows with a cash outflow in the final year. How many internal rates of return could there be for this project?

6. If the life span of two project is different, the appraisal method useful for evaluating the projects is

7. Which of the following statements is true of a put option?

8. An acquisition is the same thing as

9. Which of the following is not a type of foreign exchange exposure?

10. Which of the following is LEAST likely to fall within financial management?

11. Which one of the following are the relevance theory ?

12. Dividend is a part of

13. MM approach assumes that --------------- markets are perfect

14. The ways in which mergers and acquisitions occur do not include:

15. Asset based business valuations using net realizable values are useful in which of the following situations?

16. Long term finance is required for

17. Cost of equity capital

18. Which of the following is an example of an internal stakeholder in a firm?

19. The optimum capital structure is obtained when the market value per equity share is at

20. What is the dividend cover ratio a measure of?

21. Foreign currency forward market is

22. While evaluating capital investment proposals, the time value of money is considered in case of

23. Which of the following are descriptions of basis risk? 1. It is the difference between the spot exchange rate and currency futures exchange rate 2. It is the possibility that the movements in the currency futures price and spot price will be different 3. It is the difference between fixed and floating interest rates 4. It is one of the reasons for an imperfect currency futures hedge

24. Dividend is distributed to the

25. Cost of capital comprises premium both for business and --------------- risks