Essentials Of Investments
11th Edition
ISBN:9781260013924
Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Chapter1: Investments: Background And Issues
Section: Chapter Questions
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III. TRUE OR FALSE: Write AROHA if the idea being expressed is CORRECT, and ASTRO, if otherwise.
Write your answer in the blank after the number.
1.Corporate Government deals with the set of rules that an entity observes when conducting
business.
2. Good Corporate Governance provides stakeholders with information on how executives or
management run the business and who is accountable for important decisions.
3.Thrift Banks accept the savings of individuals and lend pooled savings to individuals
primarily in the form of mortgage loans.
4. Financial Management, this area focuses on the decisions made by businesses and
individuals as they choose securities for their investment portfolios.
5. Financial Institutions it involves financial planning, asset management, and the decisions to
increases the value of the stakeholders.
6. Rural and Corporate banks represent the more popular type of banks in the rural
communities.
7. Mail Float is the time delay between when payment is placed in the mail and when it is
received.
8. Processing Float is the time between receipt of the payment and its deposit into the firms
account.
9. Clear Float is the time between deposit of the payment and when spendable funds become
available to the firm.
10. Accounts receivable represents assets of the entity that are expected to be collected and
thus, converted to cash.
IV. ESSAY: Answer the following questions briefly. Points will be based on the given rubrics.
do we need to Study Finance?
Transcribed Image Text:III. TRUE OR FALSE: Write AROHA if the idea being expressed is CORRECT, and ASTRO, if otherwise. Write your answer in the blank after the number. 1.Corporate Government deals with the set of rules that an entity observes when conducting business. 2. Good Corporate Governance provides stakeholders with information on how executives or management run the business and who is accountable for important decisions. 3.Thrift Banks accept the savings of individuals and lend pooled savings to individuals primarily in the form of mortgage loans. 4. Financial Management, this area focuses on the decisions made by businesses and individuals as they choose securities for their investment portfolios. 5. Financial Institutions it involves financial planning, asset management, and the decisions to increases the value of the stakeholders. 6. Rural and Corporate banks represent the more popular type of banks in the rural communities. 7. Mail Float is the time delay between when payment is placed in the mail and when it is received. 8. Processing Float is the time between receipt of the payment and its deposit into the firms account. 9. Clear Float is the time between deposit of the payment and when spendable funds become available to the firm. 10. Accounts receivable represents assets of the entity that are expected to be collected and thus, converted to cash. IV. ESSAY: Answer the following questions briefly. Points will be based on the given rubrics. do we need to Study Finance?
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