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Human Resource Management (HRM) MCQS

Multiple choice Questions on Human Resource Management. Practice for fpsc ppsc exams

๐Ÿ“š Table of Content

What is the purpose of financial management?

A. Procurement and effective use of funds
B. Maximize revenue only
C. Minimize expenses only
D. Increase market share
Correct answer is: A. Procurement and effective use of funds

What does NPV stand for?

A. Net Positive Value
B. Net Present Value
C. Nominal Present Value
D. Net Profit Value
Correct answer is: B. Net Present Value

What does WACC stand for?

A. Weighted Average Cost of Capital
B. Working Average Cost of Capital
C. Weighted Average Capital Cost
D. Western Average Cost of Capital
Correct answer is: A. Weighted Average Cost of Capital

What is the objective of working capital management?

A. Maximize current liabilities
B. Maintain optimal balance of current assets and liabilities
C. Maximize fixed assets
D. Minimize cash balance
Correct answer is: B. Maintain optimal balance of current assets and liabilities

Which source is cheapest?

A. Equity
B. Debt
C. Preference shares
D. Retained earnings
Correct answer is: D. Retained earnings
Retained earnings have no explicit cost.
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