FINANCE QUIZ

PDF
MULTIPLE CHOICE QUESTIONS

Finance quiz in multiple choice question (MCQ) format. These basic general finance,
corporate finance, and public finance quizzes are available to download in PDF for free
at https://sheir.org/edu/finance-quiz-pdf/

eBook MCQs: Finance (Updated on 21 July 2020)

 Finance Quiz (PDF)

1. The issuance of bonds by governments and corporations is a way to

(A) borrow money
(B) lend money
(C) both A and B
(D) none of these

2. Net Present Value (NPV) is used in investment decisions. It is calculated as

(A) cash inflow – cash outflow
(B) cash outflow – cash inflow
(C) PV of cash inflow – PV of cash outflow
(D) PV of cash outflow – PV of cash inflow

3. In Finance, risk is the _____ of all possible outcomes.

(A) mean
(B) variance
(C) kurtosis
(D) standard deviation

4. Which of the following is considered as the safest investment?

(A) Stocks
(B) Treasury bills
(C) Corporate bond
(D) Government bond

ANSWERS
1. (A) borrow money
2. (C) PV of cash inflow – PV of cash outflow
3. (D) standard deviation
4. (B) Treasury bills

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