# Financial Accounting - Financial Accounting Multiple Choice Questions

6:

Earning Yield computed by

7:
The relationship between the cost of equity and financial leverage in accordance with MM proposition II can be expressed by
 A. R = Equity /100 B. R = (Equity / Debt) x 100 C. rE = r0 + D / E (r0 - rD)(1 - Tc) D. R = Equity / Income Answer Report Discuss Option: B Explanation : Click on Discuss to view users comments. Write your comments here:
8:
Match the following
List-I (Type of Value)       List-II (Features of Value)
(a) Market Value                1. Price which is present in market
(b) Intrinsic Value              2. Net Assets
(c) Liquidation Value        3. Value at wind up
(d) Salvage Value             4. Scrap Value
5. Cost Price

 A. (a)  (b)  (c)   (d)  1    4      3     2 B. (a)  (b)  (c)   (d)  1     2     3     4 C. (a)  (b)  (c)   (d)  1     3     2     4 D. (a)  (b)  (c)   (d)  1    4      3     5 Answer Report Discuss Option: B Explanation : Click on Discuss to view users comments. Write your comments here:
9:

What is the advantage of 'NPV Method'?

 A. This method considers the entire economic life of the project B. It takes into account the objective of maximum profitability C. This method can be allied where cash inflows are even D. All of the above Answer Report Discuss Option: D Explanation : Click on Discuss to view users comments. Write your comments here:
10:

Pay back period computed by

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• This section contains Financial accounting  Questions Answers.
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