Funding And Management Of Business Organizations - Economics Jamb Past Questions and Answers

Question 6 :

• JAMB 1985

A corporation can obtain funds by issuing bonds. A bond is a form of debt which falls due to repayment after?

A. 6 months
B. 9 mnths
C. 2 years
D. 5 years
E. 10 or more years

Question 7 :

• JAMB 1989

the type of business finance that entitle the holder to a fixed rate of dividend is?

A. Perferred stock
B. Common stock
C. Debenture stock
D. Bank loan

Question 8 :

• JAMB 1989

A company is said to be highly geared if the?

A. Value of fixed interest loans is high compared with share capital
B. Value of shared capital is high compared with fixed interest loans
C. Dividend rate is high
D. Interest rate is high

Question 9 :

• JAMB 1990

Capital provided by individuals to the firm by purchasing stocks is called?

A. Debt capital
B. Fixed capital
C. Circulating capital
D. Equlity capital

Question 10 :

• JAMB 1991

A characteristic of a debenture is that?

A. Its yeild is based on profits
B. Its yeild is a fixed rate of interest
C. It has no redemption date
D. There is a voting right when interest is paid