MGT201 - Financial Management Final Term

by **winnersgroup** Sun Feb 13, 2011 12:38 pm

total questions were 69
MCQS=62
short answers=3 (3 marks)
long questions=4 (5 marks)

short questions:
which dividend policy is best? (3)
calculation from break even point (3)
what is project financing (3)

long questions:
define correlation of coefficient and efficient portfolio (5)
elaborate equity and debt markets (5)
to avoid risks and returns what measures a firm took? (5)
calculation from NOI approach(5)

by **winnersgroup** Sun Feb 13, 2011 12:38 pm

Financial Management Current Paper
Mc090403545
February 11, 2011

Dear’s fellow’s total questions are 69.

62 MCQ’S. And 7 Subjective questions.

Q1) Why do firms need to invest in net working capital? (3)

Q2) Differentiate between Symmetric and Asymmetric information? (3)

Q3) Why it is recommended that firms should keep borrowing capacity
Reserves? (3)

Q4) What are the difference between the Bond’s Coupon rate, Current Yield, and Yield to Maturity? (5)

Q5) What are some simple strategies to protect the firm against exchange rate
risk? (5)

Q6) Firm A has to decide whether to maintain large amount of current assets or small amount of current assets what can be the possible benefits the firm can enjoy from both of there? (5)

Q7) What are the major assumptions in Capital Structure Theory? (5)

“Remember me in your prayer’s”

by **winnersgroup** Sun Feb 13, 2011 12:39 pm

bhai mera paper hi utha ker post ker dia ....anyways the paper was

total questions were 69
MCQS=62
short answers=3 (3 marks)
long questions=4 (5 marks)

short questions:
which dividend policy is best? (3)
calculation from break even point (3)
what is project financing (3)

long questions:
define correlation of coefficient and efficient portfolio (5)
elaborate equity and debt markets (5)
to avoid risks and returns what measures a firm took? (5)
calculation from NOI approach(5)

by Asad Sun Feb 13, 2011 12:40 pm

THANKS [You must be registered and logged in to see this image.]

by Asad Sun Feb 13, 2011 12:40 pm

Q1:what is the financial lease
Q2:effects of financial and operating lease on ROE
Q3:difference in ask rate and bid rate
Q4:difene operatin lease
Q5:how a company make a decision to divide dividend
Q6:aik sardar & sadar company wala tha jis maun ka profit 2 per share tha wo 7 % chaty thy investor 16% chaty thy or amount moloom karni the imployed

by Asad Sun Feb 13, 2011 12:41 pm

Today was an easy exam for the subject MGT201

Time : 120 minutes
Total Questions : 69
MCQs (1 Marks) = 62
Subjective (3 Marks) = 3
Subjective (4 Marks) = 4

The detailed Subjective questions Includes

1. Calculate the break even units if Fixed costs are Rs.20000, Sales are Rs.1800 and Variable Costs are Rs.800
2. Deferrenciate the Stock split and Stock dividend
3. What is Capital Model, Networkng Capital Model and Gross Capital Model
4. Whais is CAPM model, discuss and write its equation
5. To calculate the NPV, please define the terms, Opportunity Cost, Sunk Cost, Externalities
6. What is management buyout, please write in your own words?
7. To calculate the break even what happens

if sale price is increased but unit cost remains the same?
If variable costs are changed?
If we use Straightline method for depreciation instead MACR

The MCQ's (1 marks) are 80-90% from the previous papers

by Asad Sun Feb 13, 2011 12:41 pm

Total Time: 2 Hours
Total Marks: 91
Total Ques : 69

Total 62 MCQ’s & 01 Marks of each MCQ’s

Total Short Question & Total Marks (29)

1. What are the cost and benefits of holding inventories and cash? (3)
2. What is the reason behind the use of WACC? (3)
3. What is the effect on leverage on WAAC? (3)
4. What is the significance of holding cash for a firm? (5)
5. What are the major assumptions in capital structure theory? (5)
6. Financial lease is one of the kinds of lease; explain its advantages from
the point of view of lessee? (5)
7. Draw the difference b/w common stock and preferred stock? (5)

by Abir Sun Feb 13, 2011 1:06 pm

thanks

by Asad Mon Feb 14, 2011 12:55 pm

by Asad Mon Feb 14, 2011 12:55 pm

Dated 13th February, 2011

Time at 2:00 p.m.

Total Time 2 hours

Total question 69

Total MCQz 62

Questions of 3 Marks

Question # 63:

Stock repurchase can benefits a firm in many ways explain how.

Question # 64:

Why it is recommended firms should keep borrowing capacity in reserve.

Question # 65:

What is Keiretsu which is a unique japans form of corporate organization?

Questions of 5 Marks

Question # 66:

Explain why financial planning is important to today’s Chief Executives.

Question # 67:

There are different methods to raise capital with the organization. Briefly explain the advantages of debt financing in to the business.

Question # 68:

A 100% equity (unlevered firm),

Total Assets of Rs. 20,000

WACC of unlevered firm is 31%

Cost of debt of unlevered firm is 20%

If

Then Adds Rs. 8,000 of debt levered firm of financial risk to 15%

Required:

Required cost of equity of levered firm

What will be the WACC of levered firm

Question # 69:

Differentiate forward market and future market.

by **winnersgroup** Tue Feb 15, 2011 2:23 pm

Total questions=69
62 mcqs
3 questions of 3 marks
4 questions of 5 marks

Elobrate the effect of leverage on cost of debt. 3 marks
Write a short note on real asset market give some example. 3 marks
What is Keiretsu which is a unique japans form of corporate organization? 3 marks
Explain international CAPM model for global market with its equation and global effiecient frontier. 5 marks

There are different methods to raise capital with the organization. Briefly explain the advantages of equity financing in to the business. 5marks
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What are the major assumptions in capital structure theory? 5 marks
& last question from WACC calculation ... 5 marks
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by Asad Fri Feb 18, 2011 2:11 pm

Total Qs 69
Total MCQs 62

3 Qs having 3 marks
4 Qs carrying 5 marks
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Q1. Related from Merger and its types
Q2. capital structure
Q3. Business risk
Q4 numerical Q break even point 3 marks
Q5. numerical Q WACC find krna tha levered firm ka esa kch tha 5 marks ka.
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best of luck Angel

by Diya Sun Feb 20, 2011 8:41 am

thanks
God bless u...!

by **kamran** Sun Feb 20, 2011 7:53 pm

1. Calcute the break even point enve units from the following information . fixed cost =20000,variable cost= 800, sale price= 1800 (2 marks)
2. Mangement buyout, the firms buyouts. (3 marks)
3. Calcute tax rat 35% , Amout of debts 20,000 rate of returns= 8% (5 marks)
4. How does longterm policy effect short term financing requirment. (5 marks)[You must be registered and logged in to see this image.]