Economics And Finance Quiz Questions!

5 Questions | Total Attempts: 846

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Economics And Finance Quiz Questions!

Everybody loves money, right? Whether you’re a business owner, a producer of various goods, someone who works a full-time retail job, or you happen to own land that you rent out for a profit, you already partake in the social science of economics on a daily basis – you just don’t know it yet! Learn all about finances and economics in the following quiz and see what you can learn!


Questions and Answers
  • 1. 
    What is the term used when your savings bank passbook has got a closing debit balance?
    • A. 

      Float

    • B. 

      Underdraft

    • C. 

      Overdraft

    • D. 

      Positive Balance

  • 2. 
    According to the famous Modgilani - Miller, which of the following would be the most preferred choice of financing for a firm which wants to raise funds?
    • A. 

      Debt

    • B. 

      Equity

    • C. 

      Internal Equity

    • D. 

      All eqully preffered

  • 3. 
    What is the IRR (Internal Rate of return) for the following cash flows: Initially : Give out 100 bucks End of 1st year : Get 100 bucks End of 2nd Year: Get 11 bucks
    • A. 

      11%

    • B. 

      1.1%

    • C. 

      11.11%

    • D. 

      10%

  • 4. 
    Which of the following term is used to state the condition of the firm when it tries to finance its long term assets by shot term liabilities or vice versa
    • A. 

      Asset Liability Mismatch

    • B. 

      Ledger Book mismatch

    • C. 

      Short term - Long term mismatch

    • D. 

      Trading book mismatch

  • 5. 
    Which of the following ratios is related to the amount of capital a bank must have in order to cover the various credit risk it has?
    • A. 

      Capital Turnover Ratio

    • B. 

      Capital Employed Ratio

    • C. 

      Capital Adequacy Ratio

    • D. 

      Asset Turnover Ratio