Finance MCQs

Finance MCQs cover financial management, investment analysis, markets, and corporate finance. Ideal for MBA, CFA, and competitive exams like PPSC, FPSC, NTS, and SBP, they build concepts, analytical skills, speed, and accuracy through real-world scenarios.

Q: The beta coefficient indicates
A) Asset liquidity
B) Inflation sensitivity
C) Volatility relative to market
D) Dividend growth rate
Q: A financial derivative derives value from
A) Gold reserves
B) Asset depreciation
C) Future prices of underlying assets
D) Foreign currency
Q: Asset-backed securities are supported by
A) Company equity
B) Fixed deposits
C) Government grants
D) Pooled financial assets
Q: A decrease in net working capital implies
A) Improved liquidity
B) High leverage
C) Cash shortage
D) Reduced operating efficiency
Q: The interest rate charged by central banks to commercial banks is called
A) Prime rate
B) Capital rate
C) Repo rate
D) Real rate