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Home » Top 20 Financial Management MCQ With Answers (Updated)

Top 20 Financial Management MCQ With Answers (Updated)

Given below are top 20 Financial Management MCQ With Answers. These updated financial management multiple choice questions are useful for MBA, BBA, B Com, M Com, B Pharmacy, BA, MA, UGC NET, SET, MPSC, UPSC and Ph D exams.

______ is concerned with the duties of the financial managers in the business firm.

A. Financial Management

B. Accounting Management

C. Personnel Management

D. Merger

View Answer

A. Financial Management

The financial management function has become _____ and complex.

A. Less demanding

B. More demanding

C. Less important

D. Outdated

View Answer

B. More demanding

The ______ approach of financial management provides analytical framework for financial problems.

A. Classical

B. Traditional

C. Modern

D. Empirical

View Answer

C. Modern

The ______approach of financial management fully ignores the internal decision-making.

A. Business finance

B. Traditional

C. Modern

D. two sided

View Answer

B. Traditional

_______ is the main goal of financial management.

A. profit maximization

B. fund transfer

C. maximum returns

D. wealth maximization

View Answer

D. wealth maximization

The main objective of financial management of an enterprise is to _________.

A. maximize the business expenses

B. maximize the profit

C. maintain bill and payments

D. maximise the production costs

View Answer

B. maximize the profit

The full form of GST is _______

A. Good & Simple Tax

B. Goods & Sales Tax

C. Goods & Services Tax

D. Goods & Salary Tax

View Answer

C. Goods & Services Tax

For maximizing the profit, production is to be ________.

A. minimized

B. ignored

C. maximized

D. downsized

View Answer

C. maximized

The concept of Financial management is mainly related to ______

A. arrangement of funds for the company

B. procurement & utilization of funds for company operations

C. profit maximization for the organization

D. accounting of profit and loss on yearly basis

View Answer

B. procurement & utilization of funds for company operations

For maximizing the profit, the costs should be ______.

A. minimized

B. ignored

C. maximized

D. upgraded

View Answer

A. minimized

The full form of CAPM is ______

A. Capital access pricing model

B. Capital assessment pricing model

C. Capital advantage pricing model

D. Capital asset pricing model

View Answer

D. Capital asset pricing model

_________ maximization objectives fail to recognize quality of benefits i.e. risk factor.

A. Value

B. Wealth

C. Profit

D. Both A & B

View Answer

C. Profit

_____ Maximization objective ignores timing of benefit i.e time value of money.

A. Profit

B. Wealth

C. Value

D. Both A & B

View Answer

C. Profit

Financial Management is mainly concerned with ________.

A. acquiring financial resources for firms activities

B. utilizing financial resources for firms activities

C. procurement of funds of the enterprise

D. All of the above

View Answer

D. All of the above

Select correct option.

A. Profits maximisation can be part of a Wealth maximisation strategy

B. Wealth maximisation can be part of a Profits maximisation strategy

C. Profits maximisation and Wealth maximisation strategy are the same

D. Wealth maximisation is completely different from Profits maximisation strategy

View Answer

A. Profits maximisation can be part of a Wealth maximisation strategy

According to Massie, Financial management is the __________activity of a business.

A. operational

B. marketing

C. human resource management

D. sales

View Answer

A. operational

Financial management process deals with _______

A. investments

B. financing decisions

C. profit maximization

D. more assets

View Answer

B. financing decisions

Financial management mainly focuses on _______.

A. Arrangement of funds

B. Efficient management of every business

C. Brand dimension

D. All elements of acquiring and using means of financial resources for financial activities

View Answer

D. All elements of acquiring and using means of financial resources for financial activities

Financial management is an _______ function of any business.

A. organic

B. inorganic

C. conventional

D. least important

View Answer

A. organic

These Financial Management MCQ are helpful for Pune University, Mumbai University, Anna University, and Calicut University students.

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