Question 1

A corporation's short-term investments that can be easily converted to cash are called ____________________ securities.

Accepted Answer

The answer of A corporation's short-term investments that can be...

Question 2

Which of the following do financial managers use to describe the inflow and outflow of cash?

Accepted Answer

A)  cash flows 
B)  financial flows 
C)  revenue streams 
D)  sales revenues 
A)  cash flows 
B)  financial flows 
C)  revenue streams 
D)  sales revenues

Question 3

The concept of risk-return trade-off is BEST described by which of the following?

Accepted Answer

A)  It is important only at the lowest management levels 
B)  It relates to higher risk requiring greater return 
C)  It will be more likely to influence the financial activities in an international company than a national one 
D)  It will be more likely to influence the financial activities in a service provider than a manufacturer 
A)  It is important only at the lowest management levels 
B)  It relates to higher risk requiring greater return 
C)  It will be more likely to influence the financial activities in an international company than a national one 
D)  It will be more likely to influence the financial activities in a service provider than a manufacturer

Question 4

Financial managers are BEST described by which of the following?

Accepted Answer

A)  They focus on profit maximization. 
B)  They track how money is flowing into and out of the firm. 
C)  They play such an important organizational role that they often are called operations managers. 
D)  They are not typically involved in long-term strategic planning. 
A)  They focus on profit maximization. 
B)  They track how money is flowing into and out of the firm. 
C)  They play such an important organizational role that they often are called operations managers. 
D)  They are not typically involved in long-term strategic planning.

Question 5

Hannah Perez keeps track of day-to-day operational data to make sure her employer has enough cash to run the business.She will determine if and when the company she works for should open a second distribution centre.Perez is which of the following type of manager?

Accepted Answer

A)  accounting 
B)  financial 
C)  operations 
D)  analysis 
A)  accounting 
B)  financial 
C)  operations 
D)  analysis

Question 6

Term loans are BEST described by which of the following?

Accepted Answer

A)  They are loans with a maturity of less than one year. 
B)  They are available from commercial banks,insurance companies,pension funds,commercial finance companies,and manufacturer's financing subsidiaries. 
C)  They must be secured. 
D)  They must be repaid on an annual schedule only. 
A)  They are loans with a maturity of less than one year. 
B)  They are available from commercial banks,insurance companies,pension funds,commercial finance companies,and manufacturer's financing subsidiaries. 
C)  They must be secured. 
D)  They must be repaid on an annual schedule only.

Question 7

For a risk to be insurable it must meet which of the following criteria?

Accepted Answer

A)  The loss must be financially measurable. 
B)  The potential loss should be insignificant. 
C)  The loss must be under the control of the insured. 
D)  There must be very few exposures to the peril in question. 
A)  The loss must be financially measurable. 
B)  The potential loss should be insignificant. 
C)  The loss must be under the control of the insured. 
D)  There must be very few exposures to the peril in question.

Question 8

Which of the following is a short-term unsecured debt issued by a financially strong corporation?

Accepted Answer

A)  a treasury bill 
B)  a certificate of deposit 
C)  a money market deposit 
D)  commercial paper 
A)  a treasury bill 
B)  a certificate of deposit 
C)  a money market deposit 
D)  commercial paper

Question 9

____________________ are an equity security for which the dividend amount is set at the time the shares are issued.

Accepted Answer

The answer of ____________________ are an equity security for which...

Question 10

Tracy Lefteroff is the global managing partner for PricewaterhouseCoopers.She said that her company is eager to invest in newly created biotech companies because Canada has an aging population that will need new medications and treatments.Which of the following kinds of equity capital would Lefteroff be likely to provide?

Accepted Answer

A)  dividends 
B)  mortgage loan 
C)  retained earnings 
D)  venture capital 
A)  dividends 
B)  mortgage loan 
C)  retained earnings 
D)  venture capital

Question 11

The financial planning process begins with which of the following?

Accepted Answer

A)  budgeting 
B)  expert systems 
C)  financial forecasts 
D)  brainstorming 
A)  budgeting 
B)  expert systems 
C)  financial forecasts 
D)  brainstorming

Question 12

Which of the following is a long-term loan using real estate or other assets as collateral?

Accepted Answer

A)  an unsecured loan 
B)  a discount loan 
C)  a mortgage loan 
D)  a line of credit loan 
A)  an unsecured loan 
B)  a discount loan 
C)  a mortgage loan 
D)  a line of credit loan

Question 13

What is risk management?

Accepted Answer

the process of identifying and

Question 14

Because LaWanna Millican is investing in the commodities market,she stands a chance of losing money.____________________ is the term used to describe her potential for loss.

Accepted Answer

The answer of Because LaWanna Millican is investing in the...

Question 15

Which of the following businesses would be most likely to require an unsecured bank loan,such as a line of credit or a revolving credit agreement?

Accepted Answer

A)  a Christmas tree farm 
B)  an envelope manufacturer 
C)  a manufacturer of integrated circuits 
D)  a poultry producer 
A)  a Christmas tree farm 
B)  an envelope manufacturer 
C)  a manufacturer of integrated circuits 
D)  a poultry producer

Question 16

Tatiana Kojovich bought and sold securities for a profit.____________________ is the term used to describe this opportunity for profit.

Accepted Answer

The answer of Tatiana Kojovich bought and sold securities for...

Question 17

Of all the forms of equity capital,venture capital is the easiest to obtain.

Accepted Answer

A) True 
 B)False

Question 18

Which of the following groups invest in new businesses in return for part of the ownership,sometimes as much as 60 percent?

Accepted Answer

A)  intrapreneurs 
B)  venture capitalists 
C)  multipreneurs 
D)  leveraged capitalists 
A)  intrapreneurs 
B)  venture capitalists 
C)  multipreneurs 
D)  leveraged capitalists

Question 19

Equity capital is made up of a combination of share ownership and debt financing.

Accepted Answer

A) True 
 B)False

Question 20

The three main types of unsecured short-term loans are which of the following?

Accepted Answer

A)  trade credit,bank loans,and commercial paper 
B)  treasury bills,certificates of deposit,and accounts payable 
C)  trade credit,accounts payable,and bank loans 
D)  accounts payable,notes payable,and loans payable 
A)  trade credit,bank loans,and commercial paper 
B)  treasury bills,certificates of deposit,and accounts payable 
C)  trade credit,accounts payable,and bank loans 
D)  accounts payable,notes payable,and loans payable

A corporation's short-term investments that can be easily converted to cash are called ____________________ securities.

Which of the following do financial managers use to describe the inflow and outflow of cash?

The concept of risk-return trade-off is BEST described by which of the following?

Financial managers are BEST described by which of the following?

Hannah Perez keeps track of day-to-day operational data to make sure her employer has enough cash to run the business.She will determine if and when the company she works for should open a second distribution centre.Perez is which of the following type of manager?

Term loans are BEST described by which of the following?

For a risk to be insurable it must meet which of the following criteria?

Which of the following is a short-term unsecured debt issued by a financially strong corporation?

____________________ are an equity security for which the dividend amount is set at the time the shares are issued.

The financial planning process begins with which of the following?

Which of the following is a long-term loan using real estate or other assets as collateral?

What is risk management?

Because LaWanna Millican is investing in the commodities market,she stands a chance of losing money.____________________ is the term used to describe her potential for loss.

Which of the following businesses would be most likely to require an unsecured bank loan,such as a line of credit or a revolving credit agreement?

Tatiana Kojovich bought and sold securities for a profit.____________________ is the term used to describe this opportunity for profit.

Of all the forms of equity capital,venture capital is the easiest to obtain.

Which of the following groups invest in new businesses in return for part of the ownership,sometimes as much as 60 percent?

Equity capital is made up of a combination of share ownership and debt financing.

The three main types of unsecured short-term loans are which of the following?

understanding Evolving Economic Systems and Competition

the Global Marketplace and Governments’ Roles

Social Trends, social Responsibility, and Making Ethical Decisions in Business

Using Technology to Manage Information and for Business Success

Forms of Business Ownership

Entrepreneurship and Small Business

Management and Leadership in Today’s Organizations

Designing Organizational Structures

Motivating Employees

Managing Human Resources and Labour Relations

Achieving World-class Operations Management

Understanding the Customer

Creating Marketing Strategies

Using Financial Information and Accounting

Understanding Money, financial Institutions, and the Securities Markets

Filters

Exam 16: Managing the Firm’s Finances

A corporation's short-term investments that can be easily converted to cash are called ____________________ securities.

Which of the following do financial managers use to describe the inflow and outflow of cash?

The concept of risk-return trade-off is BEST described by which of the following?

Financial managers are BEST described by which of the following?

Hannah Perez keeps track of day-to-day operational data to make sure her employer has enough cash to run the business.She will determine if and when the company she works for should open a second distribution centre.Perez is which of the following type of manager?

Term loans are BEST described by which of the following?

For a risk to be insurable it must meet which of the following criteria?

Which of the following is a short-term unsecured debt issued by a financially strong corporation?

____________________ are an equity security for which the dividend amount is set at the time the shares are issued.

The financial planning process begins with which of the following?

Which of the following is a long-term loan using real estate or other assets as collateral?

What is risk management?

Because LaWanna Millican is investing in the commodities market,she stands a chance of losing money.____________________ is the term used to describe her potential for loss.

Which of the following businesses would be most likely to require an unsecured bank loan,such as a line of credit or a revolving credit agreement?

Tatiana Kojovich bought and sold securities for a profit.____________________ is the term used to describe this opportunity for profit.

Of all the forms of equity capital,venture capital is the easiest to obtain.

Which of the following groups invest in new businesses in return for part of the ownership,sometimes as much as 60 percent?

Equity capital is made up of a combination of share ownership and debt financing.

The three main types of unsecured short-term loans are which of the following?

understanding Evolving Economic Systems and Competition

the Global Marketplace and Governments’ Roles

Social Trends, social Responsibility, and Making Ethical Decisions in Business

Using Technology to Manage Information and for Business Success

Forms of Business Ownership

Entrepreneurship and Small Business

Management and Leadership in Today’s Organizations

Designing Organizational Structures

Motivating Employees

Managing Human Resources and Labour Relations

Achieving World-class Operations Management

Understanding the Customer

Creating Marketing Strategies

Using Financial Information and Accounting

Understanding Money, financial Institutions, and the Securities Markets

Filters