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CUET UG Planning — practice questions

Explore 5 free Planning questions in CUET UG Business Studies. Open each question or exercise to read its content, reference answers and available explanation.

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Planning questions and exercises with answers

Showing questions 1–5 of 5.

Worked practice questions

The three broad financial decisions are the investment decision, the financing decision and the:

  1. marketing decision
  2. dividend decision
  3. production decision
  4. staffing decision
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Correct answer: B. dividend decision

Finance function rests on three decisions: investment, financing and dividend.

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A long-term investment decision is also known as a:

  1. capital budgeting decision
  2. financing decision
  3. working capital decision
  4. dividend decision
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Correct answer: A. capital budgeting decision

A long-term investment decision is a capital budgeting decision, committing funds on a long-term basis.

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Wealth maximisation is achieved by maximising the:

  1. number of shares issued
  2. book value of its assets
  3. market price of the company's equity shares
  4. sales turnover
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Correct answer: C. market price of the company's equity shares

Shareholder wealth is reflected in the market price of equity shares raising it is the goal.

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