Ratio Analysis MCQs 2026

Bond analysis 61: face Rs 1000, coupon 13%, price Rs 1330. Current yield is approximately

1. A 13% ✓
2. B 19% ✓
3. C 4.9% ✓
4. D 9.8% ✓

Bond analysis 59: face Rs 1000, coupon 21%, price Rs 1374. Current yield is approximately

1. A 21% ✓
2. B 27% ✓
3. C 7.7% ✓
4. D 15.3% ✓

Bond analysis 33: face Rs 1000, coupon 12%, price Rs 1136. Current yield is approximately

1. A 10.6% ✓
2. B 12% ✓
3. C 18% ✓
4. D 5.3% ✓

Bond analysis 31: face Rs 1000, coupon 9%, price Rs 1090. Current yield is approximately

1. A 8.3% ✓
2. B 9% ✓
3. C 15% ✓
4. D 4.2% ✓

Bond analysis 29: face Rs 1000, coupon 17%, price Rs 1134. Current yield is approximately

1. A 17% ✓
2. B 23% ✓
3. C 7.5% ✓
4. D 15% ✓

Bond analysis 27: face Rs 1000, coupon 15%, price Rs 1088. Current yield is approximately

1. A 13.8% ✓
2. B 15% ✓
3. C 21% ✓
4. D 6.9% ✓

Investment metric 26: P/B ratio on PSX listed stock helps investors

1. A calculate factory machine depreciation only ✓
2. B measure warehouse humidity levels ✓
3. C determine employee annual leave balance ✓
4. D assess market valuation relative to book equity ✓

Bond analysis 25: face Rs 1000, coupon 13%, price Rs 1042. Current yield is approximately

1. A 12.5% ✓
2. B 13% ✓
3. C 19% ✓
4. D 6.3% ✓

Bond analysis 23: face Rs 1000, coupon 10%, price Rs 1086. Current yield is approximately

1. A 10% ✓
2. B 9.2% ✓
3. C 16% ✓
4. D 4.6% ✓

Bond analysis 21: face Rs 1000, coupon 8%, price Rs 1040. Current yield is approximately

1. A 8% ✓
2. B 14% ✓
3. C 7.7% ✓
4. D 3.9% ✓

Bond analysis 19: face Rs 1000, coupon 16%, price Rs 994. Current yield is approximately

1. A 16.1% ✓
2. B 16% ✓
3. C 22% ✓
4. D 8.1% ✓

Bond analysis 17: face Rs 1000, coupon 14%, price Rs 1038. Current yield is approximately

1. A 14% ✓
2. B 20% ✓
3. C 13.5% ✓
4. D 6.8% ✓

Bond analysis 15: face Rs 1000, coupon 11%, price Rs 992. Current yield is approximately

1. A 11% ✓
2. B 17% ✓
3. C 5.5% ✓
4. D 11.1% ✓

Bond analysis 13: face Rs 1000, coupon 9%, price Rs 946. Current yield is approximately

1. A 9% ✓
2. B 15% ✓
3. C 4.8% ✓
4. D 9.5% ✓

Bond analysis 11: face Rs 1000, coupon 7%, price Rs 990. Current yield is approximately

1. A 7% ✓
2. B 7.1% ✓
3. C 13% ✓
4. D 3.5% ✓

Bond analysis 9: face Rs 1000, coupon 15%, price Rs 944. Current yield is approximately

1. A 15% ✓
2. B 21% ✓
3. C 15.9% ✓
4. D 8.0% ✓

Bond analysis 7: face Rs 1000, coupon 12%, price Rs 898. Current yield is approximately

1. A 12% ✓
2. B 13.4% ✓
3. C 18% ✓
4. D 6.7% ✓

Investment metric 58: earnings yield on PSX listed stock helps investors

1. A express earnings as return percentage on price ✓
2. B calculate factory machine depreciation only ✓
3. C measure warehouse humidity levels ✓
4. D determine employee annual leave balance ✓

Bond analysis 55: face Rs 1000, coupon 16%, price Rs 1282. Current yield is approximately

1. A 16% ✓
2. B 22% ✓
3. C 6.3% ✓
4. D 12.5% ✓

Bond analysis 51: face Rs 1000, coupon 12%, price Rs 1280. Current yield is approximately

1. A 9.4% ✓
2. B 12% ✓
3. C 18% ✓
4. D 4.7% ✓

Bond analysis 49: face Rs 1000, coupon 20%, price Rs 1234. Current yield is approximately

1. A 20% ✓
2. B 26% ✓
3. C 8.1% ✓
4. D 16.2% ✓

Investment metric 48: price-to-sales on PSX listed stock helps investors

1. A compare market cap to revenue for growth firms ✓
2. B calculate factory machine depreciation only ✓
3. C measure warehouse humidity levels ✓
4. D determine employee annual leave balance ✓

Bond analysis 47: face Rs 1000, coupon 17%, price Rs 1278. Current yield is approximately

1. A 13.3% ✓
2. B 17% ✓
3. C 23% ✓
4. D 6.7% ✓

Bond analysis 45: face Rs 1000, coupon 15%, price Rs 1232. Current yield is approximately

1. A 15% ✓
2. B 12.2% ✓
3. C 21% ✓
4. D 6.1% ✓

Bond analysis 43: face Rs 1000, coupon 13%, price Rs 1186. Current yield is approximately

1. A 13% ✓
2. B 19% ✓
3. C 11% ✓
4. D 5.5% ✓

Bond analysis 41: face Rs 1000, coupon 11%, price Rs 1230. Current yield is approximately

1. A 11% ✓
2. B 17% ✓
3. C 8.9% ✓
4. D 4.5% ✓

Bond analysis 39: face Rs 1000, coupon 18%, price Rs 1184. Current yield is approximately

1. A 18% ✓
2. B 15.2% ✓
3. C 24% ✓
4. D 7.6% ✓

Bond analysis 37: face Rs 1000, coupon 16%, price Rs 1138. Current yield is approximately

1. A 14.1% ✓
2. B 16% ✓
3. C 22% ✓
4. D 7.0% ✓

Bond analysis 35: face Rs 1000, coupon 14%, price Rs 1182. Current yield is approximately

1. A 14% ✓
2. B 20% ✓
3. C 11.8% ✓
4. D 5.9% ✓

Bond analysis 5: face Rs 1000, coupon 10%, price Rs 942. Current yield is approximately

1. A 10% ✓
2. B 16% ✓
3. C 5.3% ✓
4. D 10.6% ✓

Bond analysis 3: face Rs 1000, coupon 8%, price Rs 896. Current yield is approximately

1. A 8% ✓
2. B 14% ✓
3. C 8.9% ✓
4. D 4.5% ✓

Bond analysis 1: face Rs 1000, coupon 6%, price Rs 850. Current yield is approximately

1. A 6% ✓
2. B 12% ✓
3. C 3.5% ✓
4. D 7.1% ✓

Dividend discount model values stock as

1. A book value of plant only ✓
2. B last trade volume only ✓
3. C auditor opinion letter ✓
4. D present value of expected future dividends ✓

P/E ratio interpretation for investment analysis

1. A debt to equity only ✓
2. B market price per share relative to earnings per share ✓
3. C inventory turnover only ✓
4. D tax rate only ✓

Duration measures bond price sensitivity to

1. A changes in CEO tenure ✓
2. B changes in inventory days ✓
3. C changes in union membership ✓
4. D changes in interest rates ✓

Yield to maturity on a bond is

1. A coupon rate always ✓
2. B discount rate equating price to present value of cash flows ✓
3. C current yield always ✓
4. D inflation rate only ✓

Bond current yield equals

1. A annual coupon divided by current market price ✓
2. B coupon divided by face value only ✓
3. C YTM exactly always ✓
4. D face value divided by price ✓

Expected return on a portfolio equals

1. A sum of betas only ✓
2. B maximum single stock return ✓
3. C weighted average of individual asset expected returns ✓
4. D minimum bond yield only ✓

Holding period return on a stock equals

1. A only closing price ✓
2. B capital gain plus dividends divided by beginning price ✓
3. C only trading volume ✓
4. D only P/E ratio ✓

Net Present Value of an investment is positive when

1. A discounted cash inflows exceed initial outlay ✓
2. B IRR is below zero only ✓
3. C payback is infinite ✓
4. D book profit is zero ✓

Bond analysis 57: face Rs 1000, coupon 19%, price Rs 1328. Current yield is approximately

1. A 19% ✓
2. B 25% ✓
3. C 14.3% ✓
4. D 7.2% ✓

Bond analysis 53: face Rs 1000, coupon 14%, price Rs 1326. Current yield is approximately

1. A 10.6% ✓
2. B 14% ✓
3. C 20% ✓
4. D 5.3% ✓