FiltersDone

Question type

Essay

Multiple Choice

Short Answer

True False

Matching

Exam 17: Financial Management

Show Answer

Share

---

All types

Filters

Study FlashcardsPractice ExamLearn

Question 131

True/False

Review LaterAdd Note

Review Later

A capital budget highlights a firm's spending plans of long-lasting assets,such as property,buildings,and equipment.

A) True
B) False

Correct Answer

verified

Show Answer

Question 132

Multiple Choice

Review LaterAdd Note

Review Later

_________ offers financially stable corporations a technique to raise short-term funds by issuing unsecured promissory notes to the general public.

A) Trade credit
B) A line of credit
C) Factoring
D) Commercial paper

E) All of the above
F) C) and D)

Correct Answer

verified

Show Answer

Question 133

Multiple Choice

Review LaterAdd Note

Rebecca intends to major in business in college.She has never had much interest in subjects with numbers and so she'd like to avoid taking any finance courses if possible.Rebecca should:

Tax management involves the development of strategies to evade tax liabilities.

Debt financing refers to funds acquired from the profitable operations of a firm or through the sale of ownership in the firm.

Which of the following highlights a firm's spending plans for the purchase of major assets?

One important consideration for a firm accepting funds from a venture capitalist is the ownership interest demanded by the venture capital firm.

To secure financing for a planned expansion,JamesCo Electronics borrowed $400,000 from King Finance.The ________ loan agreement requires that JamesCo Electronics provide the title to their factory as collateral.

Deltoid Aluminum uses its stock of unsold aluminum products as collateral for short term loans.This arrangement represents:

The need for operating funds:

As a financial manager,Sabrina's responsibilities include the interpretation of financial statements provided by the firm's accountants and the preparation of recommendations to top management.

Which of the following provides the buyer with collateral?

The business functions of accounting and finance are often in conflict with each other.

How do financial managers keep current customers happy and attract new customers?

A firm acquires _________ through the sale of ownership in the firm.

Financial managers and management accountants have which task in common?

The most difficult kind of loan to obtain from a bank is a secured loan.

Credit cards are a good choice as a source of short-term financing,needed for the next year.

As a financial manager for a very profitable manufacturer of specialty steel,Kurt has been asked to investigate sources of long-term funds to finance the construction of a new facility.Kurt would prefer a funding source that does not require interest payments or involve major underwriting fees.One source that Kurt will find attractive is retained earnings.

Acquiring funds through borrowing represents: