Management MCQs

When maturities of liabilities and assets are mismatched and risk incurred by financial intermediaries then this risk is classified as

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A. interest rate risk
B. channel rate risk
C. economic risk
D. issuance risk
✅ The correct answer is option A.
When maturities of liabilities and assets are mismatched and risk incurred by financial intermediaries then this risk is classified as interest rate risk. The interest rate risk, or market risk, refers to the chance that investments in bonds also known as fixed-income securities will suffer as the result of unexpected interest rate changes.

Legal document required by Securities Exchange Commission stating associated risks and detailed description of issues is classified as

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A. prospectus
B. stated document
C. risk detailed document
D. exchange commission document
✅ The correct answer is option A.
Legal document required by Securities Exchange Commission stating associated risks and detailed description of issues is classified as prospectus. A prospectus is a formal document that is required by and filed with the Securities and Exchange Commission (SEC) that provides details about an investment offering for sale to the public. A prospectus is filed for stock, bond, and mutual fund offerings.

This time is devoted to school labs, studying work, commuting, and other activities involving your immediate and long-term goals.

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A. Committed time
B. Discretionary time
C. Maintenance time
D. Family time
✅ The correct answer is option A.
Committed time is devoted to school labs, studying work, commuting, and other activities involving your immediate and long-term goals. Committed time, like contracted time, takes priority over necessary and free time because it is viewed as productive work.

A number of benefits can be derived from using E-recruiting, these include

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A. it decreases the effectiveness of the recruitment process by reaching larger numbers of qualified people
B. it increases recruitment costs, it decreases and streamlines the administrative process cycle times
C. it does not allow the company to evaluate the success of its recruitment strategy
D. it increases the effectiveness of the recruitment process by reaching larger numbers of qualified people
✅ The correct answer is option D.
A number of benefits can be derived from using E-recruiting, it increases the effectiveness of the recruitment process by reaching larger numbers of qualified people. Advantages of the Internet recruitment include lower recruiting costs, faster recruiting cycle, higher caliper recruits and increased audience reach. Potential barriers to Internet recruitment include the digital divide, limited Internet access, usage problems and flawed infrastructure.

For specific basket of goods and services, rise in price on continual basis is considered as

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A. fall in globalization
B. rise in globalization
C. rise in demand
D. inflation
✅ The correct answer is option D.
For specific basket of goods and services, rise in price on continual basis is considered as inflation. For specific basket of goods and services, rise in price on continual basis is considered as inflation.

An organization’s ability to offer market offerings at lower prices, in comparison with its competitors is known as

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A. inelastic demand
B. product differentiation
C. cost leadership
D. elastic demand
✅ The correct answer is option C.
An organization’s ability to offer market offerings at lower prices, in comparison with its competitors is known as cost leadership. Cost Leadership is the mechanism of establishing a competitive advantage by having the lowest cost of operation in the industry.

In corporate costs, costs incur for employee recruitment, development and training are classified as

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A. discretionary costs
B. human resource management costs
C. corporate administration costs
D. treasury costs
✅ The correct answer is option B.
In corporate costs, costs incur for employee recruitment, development and training are classified as human resource management costs. They include all of the direct costs of recruitment, selection, hiring, and placement, as well as certain indirect costs. Recruitment costs are costs incurred to identify sources of human resources, including those both inside and outside an organization.

The type of market in which Eurodollar are traded is classified as

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A. brokerage market
B. contraction market
C. expansion market
D. Eurodollar market
✅ The correct answer is option D.
The type of market in which Eurodollar are traded is classified as Eurodollar market. The term eurodollar refers to U.S. dollar-denominated deposits at foreign banks or at the overseas branches of American banks. Because they are held outside the United States, eurodollars are not subject to regulation by the Federal Reserve Board, including reserve requirements.

Project’s expected monetary loss or gain by discounting all cash outflows and inflows, using required rate of return is classified as

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A. net present value
B. net future value
C. net discounted value
D. net recorded cash value
✅ The correct answer is option A.
Project’s expected monetary loss or gain by discounting all cash outflows and inflows, using required rate of return is classified as net present value. Net present value (NPV) is the difference between the present value of cash inflows and the present value of cash outflows over a period of time.