Finance Multiple Questions

Finance Multiple Questions:

Quiz 6:

Question 1:

Answer: C 10%

r = (d1/p1) +g

r = (1/25) +6%

r =10%

Question 2:

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Finance Multiple Questions

Answer: D 8.1%

Question 3:

Answer: D

3.85%

Question 4:

Answer: D all the other except accounts payable

Question 5:

Answer: E

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Finance Multiple Questions

Question 6:

Answer: B

Question 7:

Answer: C

Question 8:

Answer: E

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Finance Multiple Questions

Question 9:

Answer: B

Question 10:

Answer: B

$221.30

r = 10%

Cash flows: -$1,000 $500 $500 $500

Npv using excel = 221.30

Question 11:

Answer: E

$459.71

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Finance Multiple Questions

r= 10%

Cash flows: -$1,000 $475 $475 $475 $475

Npv using excel = 459.71

Question 12

Answer: C 2 years

Cash flows: -$1,000 $500 $500 $500

Payback, year 1 = 500

Year 2 =500,

Year 1  year 2

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Finance Multiple Questions

500 + 500 = 1000

Total 2 years

Question 13

Answer: E 3.21

300 + 310 + 320 = 930

1000 – 930 = 70

4th year = 330

70/330 = 0.2121

Total time = 3.21 years

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Finance Multiple Questions

Question 14

Answer: B $129.43

r = 10%

Cash flows: -$1,000 $450 $460 $470

Npv using excel = 129.43

Question 15

Answer: B

Question 16

Answer: D

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Finance Multiple Questions

Question 17

Answer: A

Question 18

Answer: E

Question 19

Answer: E

Question 20

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Finance Multiple Questions

Answer: A

Question 21

Answer: A

Question 22

Answer: A$124.76

r= 10%

Cash flows: -$1,000 $300 $300 $300 $300 $300

Npv using excel = 124.76

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Finance Multiple Questions

Question 23

Answer: B

Question 24

Answer: C

Question 25

Answer: D. 6.12 years

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