The required span of time within which the investment made for the project will be recovered by the net returns of the project is known as Select one: o a. No Present Value O b. Span return c. None of the option d. Period of return e. Payback period Which of the following statement is correct Select one: a. A project is accepted when net present value is greater than zero O b. All statements are correct c. None of the statement is correct d. A project is accepted when payback period is less than the other project e. A project is accepted when profitability index will be greater than one If the networking capital is 73.5 and the difference between current assets and current liabilities is 70, then what is the contingency rate2? Select one: a. 0.08 O b. 0.09 OC. 0.07 o d. None e. 0.05 The standard deviation of Oman Air is 8.26 and the standard deviation of Salam Air is 9.52. Which company is less risky? Select one: a. Both the companies b. Aviation Industry o c. Salam Air d. None of the companies e. Oman Air Which of the following statement is correct Select one: a. Capital expenditure decisions do not involve commitment of large sums of money b. Working capital refers to the mix of different sources of long-term funds c. None of the statement is correct O d. Capital structure of a company may comprise of Equity Share Capital, Preference Share Capital and Debentures e Capital structure is a method of analyzing and comparing substantial future investments and expenditures to determine which ones are most worthwhile The estimation of working capital usually refers to Select one a. Present requirement of working capital by company b. Future requirement of working capital by company c. None of the option d. Future requirement of Fixed Assets by company e. Past requirement of working capital by company Under Net present value criterion, a project is approved if Select one: a. None of the option b. Its net present value is positive c. If present value of cash outflow is higher than inflow d. Its net present value is negative e. If present value is zero The returns of Shanfari Company are as follows: Year 1-4, Year 2:11. Year3=21, Year 4= (-3). The Average Return and Standard Deviation of Shanfari Company are Select one: O a. None O b. Average Return=8.25, Standard Deviation=8.87 O c. Average Return=6.75, Standard Deviation=7.15 d. Average Return=7.45, Standard Deviation=8.50 e. Average Return=5.15. Standard Deviation=6,50 Find the Discounted Payback Period (DPP) for Oman Water Company if the initial investment is 6000 OMR and the cash Inflows are as follows: Year 1 =2500 OMR; Year 2 =3000 OMR; Year 3=2500 OMR and Year 4=3000 OMR. Use discount rate as 8%. Select one: o a. 3.16 years. b. 2.16 years. c. None O d. 2.56 years. e 296 years. O Use the following information from Salalah Mills Company to calculate Average Annual Growth Rate(AAGR). Beginning value=OMR. 90, End of Year 1= OMR 110, End of Year 2=OMR 140, End of Year 3-OMR 160, End of Year 4= OMR 180. Select one: a 17.10 b. None c. 18.35 d. 19.50 e. 19.06 Find the Discounted Payback Period (DPP) for Oman Sofa Company if the initial investment is 12000 OMR and the cash Inflows are as follows: Year 1 =5000 OMR: Year 2 =4000 OMR; Year 3=3000 OMR and Year 4:5000 OMR. Use discount rate as 15% Select one: o 3.23 Years 64.2 Years O d. None e. 3.4 Years If the cost of debt for Sohar Textiles is 6.9% (effective rate) and the after tax cost of debt is 0.05175, then what is tax rate? Select one: a. 0.359 b. 0.149 O c. 0.259 d. 0.249 O e. None If the tax rate is 15% and the after-tax cost of deb is 0.09265, then what is the cost of debt (effective rate) for Dhofar Energy Services? Select one: a. None b. 0.1190 O
