McqMate
These multiple-choice questions (MCQs) are designed to enhance your knowledge and understanding in the following areas: Bachelor of Financial Markets (B F M) .
| 151. |
The ______________ of the merged company determines its success or failure. |
| A. | Earning |
| B. | Net profit |
| C. | Capitalisation |
| D. | Assets |
| Answer» C. Capitalisation | |
| 152. |
____________ is one of the valuation criteria for measuring the success of post merged company. |
| A. | Financial Value |
| B. | Market Value |
| C. | Fair Market Value |
| D. | Culture |
| Answer» C. Fair Market Value | |
| 153. |
_____________ is an incredibly challenging process that senior executives are required to undertake in parallel to managing their core business operations. |
| A. | Human Resource Management |
| B. | Post-Merger Integration |
| C. | General management integration |
| D. | Product and service development. |
| Answer» B. Post-Merger Integration | |
| 154. |
The earning performance of the merged company can be measured by return on total ___________ and total net worth. |
| A. | Assets |
| B. | liabilities |
| C. | Share Capital |
| D. | Market Value |
| Answer» A. Assets | |
| 155. |
Under section 72A of Income tax act, 1961 carry forward and setting off of accumulated losses and unabsorbed depreciation of the amalgamating company is allowed against the __________ profits of the amalgamated company in order to encourage revival of sick units. |
| A. | Future |
| B. | Present |
| C. | Past |
| D. | Market Value |
| Answer» A. Future | |
| 156. |
The merged firm would enjoy ___________ debt capacity because the combination of two or more firms provide greater stability to the earnings level. |
| A. | Lower |
| B. | Higher |
| C. | Stable |
| D. | Non of the above |
| Answer» B. Higher | |
| 157. |
Merger/Amalgamation of two or more firms has been used as a dominant business strategy to seek rapid growth and ___________. |
| A. | Stabilisation |
| B. | Expansion |
| C. | Diversification |
| D. | Utilisation |
| Answer» C. Diversification | |
| 158. |
The company which is subjected to _____________ will need to align its internal processes with that of the merged entity / acquired entity. |
| A. | Restructuring |
| B. | Post-Merger Integration |
| C. | Share Capital |
| D. | Non of the above |
| Answer» A. Restructuring | |
| 159. |
The earning performance of the merged company can be measured by return on total ___________ and return on net worth. |
| A. | Assets |
| B. | Liabilities |
| C. | Share Capital |
| D. | Financial Value |
| Answer» A. Assets | |
| 160. |
The ____________ improves the competitive position of the merged firm as it can command an increased market share. |
| A. | Merger |
| B. | Acquisition |
| C. | Stabilisation |
| D. | Expansion |
| Answer» A. Merger | |
| 161. |
The earning performance of the merged company can be measured by return on total assets and return on___________. |
| A. | Assets |
| B. | Liabilities |
| C. | Share Capital |
| D. | Net Worth |
| Answer» D. Net Worth | |
| 162. |
Merger/Amalgamation of two or more firms has been used as a dominant business strategy to seek rapid __________ and Diversification. |
| A. | Stabilisation |
| B. | Expansion |
| C. | Utilisation |
| D. | Growth |
| Answer» D. Growth | |
| 163. |
There are _______ sets of rules for a successful PMI. |
| A. | 20 |
| B. | 15 |
| C. | 10 |
| D. | 5 |
| Answer» B. 15 | |
| 164. |
The net result of realizing economics of scale would be an __________ in the cost of production. |
| A. | Increase |
| B. | Decrease |
| C. | Stable |
| D. | None of the above |
| Answer» A. Increase | |
| 165. |
Modern markets always dictate __________ innovation and improvement on product and services. |
| A. | Continuous |
| B. | Stable |
| C. | Increased |
| D. | None of the above |
| Answer» A. Continuous | |
| 166. |
__________ involves the utilization of resources. |
| A. | Management |
| B. | Analysis |
| C. | Culture |
| D. | Net Profit |
| Answer» A. Management | |
| 167. |
The capitalisation of the ___________ company determines its success or failure. |
| A. | Expansion |
| B. | Net profit |
| C. | Merged |
| D. | Assets |
| Answer» C. Merged | |
| 168. |
Whenever the merged firm raises funds from the market through public issue of shares or debentures, it can ___________ the floating cost. |
| A. | Reduce |
| B. | Increase |
| C. | Constant |
| D. | None of the above. |
| Answer» A. Reduce | |
| 169. |
Modern markets always dictate Continuous innovation and __________ on product and services. |
| A. | Improvement |
| B. | Stable |
| C. | Increased |
| D. | None of the above |
| Answer» A. Improvement | |
| 170. |
The earning Performance of the merged cannot be measured by return on total share price and return on ________ worth. |
| A. | Net |
| B. | Average |
| C. | Future |
| D. | Higher |
| Answer» A. Net | |
| 171. |
Companies need to be __________ with regards to terms and conditions of employment. |
| A. | Sensitive |
| B. | Careless |
| C. | Favourable |
| D. | None of the above |
| Answer» A. Sensitive | |
| 172. |
Post acquisition, the parent company may want to acquired company to adopt ______________ structure of the parent entity. |
| A. | Salary |
| B. | Communication |
| C. | Compensation |
| D. | Conditions |
| Answer» C. Compensation | |
| 173. |
The company which is subjected to restructuring will need to align its ___________ processes with that of the merged entity. |
| A. | Internal |
| B. | External |
| C. | Domestic |
| D. | International |
| Answer» A. Internal | |
| 174. |
Restructuring typically would entail ___________ of persons operating on various positions/grades in similar functions. |
| A. | Re-allocation |
| B. | Administration |
| C. | Acquisition |
| D. | None of the above |
| Answer» A. Re-allocation | |
| 175. |
A careful __________ is needed to avoid overlapping, underutilization of staff and to take care of career progression. |
| A. | Organizing |
| B. | Planning |
| C. | Controlling |
| D. | Re-defining |
| Answer» B. Planning | |
| 176. |
The company which is subjected to ____________ will need to align its internal processes with that of the merged entity. |
| A. | Restructuring |
| B. | Merger |
| C. | Amalgamation |
| D. | External |
| Answer» A. Restructuring | |
| 177. |
If accompany is occupying leased premises, one should check conditions under the __________ agreement and complete necessary formalities. |
| A. | Restructuring |
| B. | Lease |
| C. | Merged |
| D. | None of the above |
| Answer» B. Lease | |
| 178. |
Restructuring could lead to changes in existing certificates such as _________ or similar other certifications. |
| A. | ISO |
| B. | FSI |
| C. | SEZ |
| D. | All of the above |
| Answer» A. ISO | |
| 179. |
Restructuring is not always about __________ decisions or actions. |
| A. | Present |
| B. | Future |
| C. | Past |
| D. | None of the above |
| Answer» B. Future | |
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