1. To financial analysts, 'gross working capital' means the same thing as ________.

A) Fixed assets
B) Current assets.
C) Working capital.
D) Cost of capital.



2. In Walter model formula D stands for _________________.

A) Dividend per share.
B) Direct dividend.
C) Direct earnings.
D) None of these.



3. Current ratio of a concern is 1, its net working capital will be _________.

A) Positive.
B) Neutral.
C) Negative.
D) None of the above.



4. The 182-day annualized T bills rate is 9%p.a., the return on market is 15% p.a., and the beta of stock B is1.5 the required rate of return from investment in stock B is___________.

A) 17% p.a.
B) 18% p.a.
C) 19% p.a.
D) 20% p.a.



5. _______________ is the most appropriate goal of the firm.

A) Shareholder wealth maximization.
B) Profit maximization.
C) Stakeholder maximization.
D) EPS maximization