A risk associated with project and way considered by well diversified stockholder is classified as______________?
(A) Expected risk
(B) Beta risk
(C) Industry risk
(D) Returning risk
Variability for expected returns for projects is classified as___________?
(A) Expected risk
(B) Stand-alone risk
(C) Variable risk
(D) Returning risk
Method uses for an estimation of cost of equity is classified as___________?
(A) Market cash flow
(B) Future cash flow method
(C) Discounted cash flow method
(D) Present cash flow method
In weighted average capital, capital structure weights estimation does not rely on value of__________?
(A) Investors equity
(B) Market value of equity
(C) Book value of equity
(D) Stock equity
Beta which is estimated as regression slope coefficient is classified as___________?
(A) Historical beta
(B) Market beta
(C) Coefficient beta
(D) Riskier beta
Risk free rate is subtracted from expected market return is considered as___________?
(A) Country risk
(B) Diversifiable risk
(C) Equity risk premium
(D) Market risk premium
Rate of return which is required to satisfy stockholders and debt holders is classified as__________?
(A) Weighted average cost of interest
(B) Weighted average cost of capital
(C) Weighted average salvage value
(D) Mean cost of capital
In cash flow estimation and risk analysis, real rate will be equal to nominal rate if there is__________?
(A) No inflation
(B) High inflation
(C) No transactions
(D) No acceleration
Weighted average cost of debt, preferred stock and common equity is classified as_____________?
(A) Cost of salvage
(B) Cost of interest
(C) Cost of taxation
(D) Cost of capital
In cash flow estimation, depreciation shelters company’s income from_______?
(A) Expansion
(B) Salvages
(C) Taxation
(D) Discounts