Management Sciences
Management Sciences MCQs With Answers
0 Management Sciences MCQs for CSS, PPSC, FPSC, NTS and entry-test preparation. Take a scored quiz instead →
Which corporate payout strategy increases the number of outstanding shares while reducing nominal per-share par value without altering total equity?
ACash Dividend
BStock Split
CShare Buyback
DRight Issue
What financial metric calculates the total return earned on total assets before accounting for capital structure interest and taxes?
AReturn on Equity (ROE)
BReturn on Capital Employed (ROCE)
CBasic Earning Power (BEP)
DGross Margin
Which market hypothesis asserts that security prices fully reflect all publicly available information, making fundamental analysis incapable of producing excess returns?
AWeak Form EMH
BSemi-Strong Form EMH
CStrong Form EMH
DInefficient Market Model
Which depreciation method allocates equal depreciation expense for each year of an asset’s estimated useful life?
AStraight-Line Method
BReducing Balance Method
CSum-of-the-Years'-Digits
DUnits of Production Method
What measure evaluates the sensitivity of Operating Income (EBIT) to changes in sales revenue volume?
ADegree of Financial Leverage (DFL)
BDegree of Operating Leverage (DOL)
CDegree of Combined Leverage (DCL)
DTotal Leverage Index
What type of audit procedure is performed by auditors to test transaction details and account balances for monetary misstatements?
AControl Tests
BSubstantive Procedures
CRisk Assessment
DAnalytical Review
Which term defines the maximum theoretical capital structure ratio of debt and equity that minimizes a firm’s Weighted Average Cost of Capital (WACC)?
ATarget Leverage
BOptimal Capital Structure
CPecking Order Point
DEquilibrium Capital Base
What operational system minimizes inventory storage costs by receiving materials from suppliers exactly when needed in production?
AMaterial Requirements Planning (MRP)
BJust-In-Time (JIT) System
CEconomic Order Quantity (EOQ)
DPeriodic Inventory System
Which term describes the residual ownership interest in company assets remaining after deducting all total liabilities?
ARetained Earnings
BEquity (Owner's Equity)
CWorking Capital
DNet Profit
What term describes a short-term bank credit facility permitting account holders to withdraw money beyond their actual available account balance up to an agreed limit?
ATerm Loan
BBank Overdraft
CLetter of Credit
DFactoring