Online Access Free CWM_LEVEL_2 Practice Test

Section B (2 Mark)
Payback period is

• A.Time required for cash flows to recover the cost of investment
• B.Time required for cash flows to recover cost of investment and opportunity cost
• C.None of the above
• D.Time required to recover the operating cost

Section A (1 Mark)
Which of the following is the fastest growing source of revenue for state and local governments in US?

• A.The sales tax
• B.None of the above.
• C.User fees
• D.The property tax

Section A (1 Mark)
The factors contributing to a Credit Score are :

• A.All of the Above
• B.I, III and IV
• C.II and IV
• D.I and III

Section B (2 Mark)
What are the two strategies that have the broadest mandate across financial, commodity, and futures markets?

• A.I & III
• B.I & V
• C.II & IV
• D.IV & V

Section C (4 Mark)
The Meryl Corporation's common stock is currently selling at Rs100 per share, which represents a P/E ratio of
10. If the firm has 100 shares of common stock outstanding, a return on equity of 20 percent, and a debt ratio of 60 percent, what is its return on total assets (ROA)?

• A.8.00%
• B.12.00%
• C.16.70%
• D.10.00%