Question
A project has an expected NPV of ₹5 crore, a standard
deviation of ₹2 crore, and a coefficient of variation of 0.4. If the company has another project with a lower expected NPV but a coefficient of variation of 0.2, which project is riskier and why?Solution
Coefficient of Variation (CV) = Std Dev / NPV is a measure of risk per unit return. Higher CV implies greater risk. Hence, the first project is riskier.
All of the following can be the reason for failure of the corporate governance in financial institutions, except-
According to Article 81, of Indian Constitution what is the maximum strength of members of Parliament in the Lok Sabha?
Which of the following statement is incorrect about middle level management?
Which of the following is not a characteristic of partnership?
Which of the following is not an on-the-job training method?
The Prime Minister Shri Narendra Modi inaugurated the world’s first nano urea liquid plant in which state of the country?
On 80th anniversary celebrations of the RBI, a Committee was constituted with the objective of working out a medium-term (five year) measurable action...
System by which information is collected, processed and presented to management to help it in making better decisions, is called?
...What is correct as per situation theory of leadership?
You are working in accounting department of a company and during preparation of the annual accounts you get to know that company is making huge profit ...
