C201 Chapter 17

11. Which of the following security holders receives a lower returns with low risk? . T-Bill B. Common shareholders C. Stakeholders D. Creditors 12. The advantage of a company compared a sole trader as form of business organisation is: A. Quick decision making B. Access to external professional management skills C. Use of own funds D. Inability to access external funds Thank you!!!

The objectives of financial reporting include which of the following? a. Financial reporting should provide information ·a. that is comprehensibie to all potential investors. b. Financial reporting should provide information directly to potential investors about the nature, timing, and uncertainty of prospective cash dividends. c. Financial reporting should provide information that is useful to potential investors in making rational investment decisions. d. Financial reporting shouid provide information about an enterprise's economic resources bưt not about circumstances that change those resources.

Which of the following would be part of a financial manager's investment decision? *a. Collecting receivables from customersb. Paying loansc. Allocating funds for permanent current assetsd. Paying dividends to shareholders

which one is correct answer please confirm? QUESTION 28 The business risk of a firm refers to the ____.   a. influence of government regulations on business earnings   b. results from using fixed-cost sources of funds   c. variability in the firm's operating earnings over time   d. variability in the price of a firm's securities

Right answer

In Finance ..

6.-The financial manager (treasurer) knows the financing alternatives that the company can use. true or false? (Class exercise)

The primary goal of financial managers include all of the following EXCEPT : A. Maximize stockholder wealth. B. Maximizing firm value C. Challenge legislation in states where the company operates D. Minimizing WACC

Which one is not part of financial managerial decision in the corporate financial management? Financing Decision Cash Flow Decision Dividend Decision Payout Decision Investment Decision

TOPIC: Introduction to Financial Management  1. Which of the following can be accepted as main points to note when it comes to a company's financial objective? O It is generally accepted that the main financial objective of a company should be to maximize (or at least increase) shareholder wealth. O There are practical difficulties in selecting a suitable measurement for growth in shareholder wealth. Financial targets such as profit maximization and growth in EPS might be used, but no financial target on its own is ideal. O Financial performance is therefore assessed in a variety of ways: by the actual or expected increase in the share price, growth in profits, growth in EPS, and so on.  2. Which of the following statement/s depicts agency relationships and conflicts?  I. The owners expect the agents to act in the best interests of the owners. Ideally, the 'contract' between the owners and the managers should ensure that the managers always act in the best interests of the…

If you were a finance leader in a business organization, how would you apply the concept of risk and return in your daily decision-making processes? How might you explain the concept of risk vs. return trade-off during a shareholders' meeting? How would a proposed initiative to diversify current holdings factor into the discussion about total risk for the organization? Explain

Which of the following statement is INCORRECT?   Question 20 options:   1)  The finance manager manages the short-term balance sheet items of the company, such as current assets and current liabilities.   2)  The finance manager uses investment evaluation techniques to decide whether to purchase fixed assets.   3)  The finance manager seeks to maximise the firm’s wealth when deciding on the choice of capital sources such as debts and equity.   4)  The right-hand side of the balance sheet refers to the company’s investment decisions to buy fixed assets to generate returns.

Please explain why prudent financial management will maximize Shareholders’ wealth, in the following aspects: - Financial Cost - Liquidity

Which of the following represent sources of funds to a firm: A. Creditors B. Investors C. Profitable Operations D. All of the Above

In Finance, The primary goal of financial management is to: A. Maximize profits B. Minimize costs C. Maximize shareholder wealth D. Ensure financial stability

4.-According to Financial Management approaches, the financial manager's objectives are stated as and measured with: Options:A) Obtain profitability and liquidity, for financial reasons. B) To maximize profitability and wealth, by leverage and upa. c) Maximize profitability and wealth, by liquidity and profitability. d) Maximize wealth and profit, by liquidity and upa. (Choose one option) (Class exercise)