BUSINESS FINANCE Evaluation 1

It deals with decisions that are supposed to maximize the value of shareholders' wealth.

• Financial Management

• Business Finance

• Wealth Maximization

It represent the form of ownership in a corporation

• Market value

• Stock holder

• Share of stocks

Factors that influence the changes in the price of a stock:

• nature of business

• dividend poliicies

• profit maximization

It is a major driver for increasing the value of a stock

• economic factors

• profitability

• profit maximization

Households is into Savers and _________________ is into Financial Intermediaries

• Corporations

• Government Agencies

• Insurance Companies

Which does not belong to the group?

• mutual funds

• banks

• none

It provides a system for the trading of equity securities of publicly listed companies

• PSE

• Banks

• Stock Market

It has priority over a stock in terms of claims over the assets of a company

• common stock

• preferred stock

• equity securities

It is the highest policy-making body in a corporation

• president

• board of directors

• finance manager

Roles of a finance manager:

• Investing Decisions

• Operating Decisions

• Dividend Policies