Finance Q1-F

What is the primary characteristic of the over-the-counter market?

• 
  It is an organised stock exchange.

• 
  It is an intangible market for unlisted securities.

• 
  It is the New York Stock Exchange.

• 
  It is a place where securities are bought and sold.

What is the primary factor that determines the wealth of the owners of a corporation?

• Shares in the company

• Debts owed by the company

• Revenue generated by the company

• Number of customers

What is the difference between primary and secondary markets?

• Primary markets involve the initial issuance of securities, while secondary markets involve the trading of previously issued securities.

• Primary markets are where investors buy and sell existing securities, while secondary markets are where new securities are introduced to the market.

• Primary markets are where securities are traded between institutions, while secondary markets are where individual investors buy and sell securities.

• Primary markets are where securities are bought and sold among investors, while secondary markets are where new securities are issued for the first time.

Acts like a general partnership, but is clearly for a limited period of time or a single project.

• Limited Liability Corporation (LLC)

• General Partnership

• Joint Venture

• Limited Partnership (LP)

This form of ownership is not often used for operating retail or service businesses. Forming this partnership is more complex and formal than that of a general partnership.​

• Unrestricted partnership
• Unlimited partnership
• Boundless partnership
• Limited partnership

What type of business structure combines the limited liability features of a corporation with the tax efficiencies and operational flexibility of a partnership?

• Limited Liability Company (LLC)

• Sole Proprietorship

• Limited Liability Partnership (LLP)

• 
  Corporation

Owners of type of business are issued shares in that corporation and their liability is limited to the amount invested in the company to purchase those shares, for example, they have limited personal liability.

• Partnership

• LLC

• 
  Corporation

• Sole Proprietorship

Which department uses all the accounting information for review and future decision-making, such as Cash budgeting and Capital Budgeting?

• Finance

• Accounting Management

• Accounting

• Economics

Which of the following is not a characteristic of successful business goals?

• marketing

• achievable

• measurable

• relevant 

This does not take into account certain key factors that must be considered when making financial decisions

• Goals of organization

• Achievable

• Profit maximization

• 
  Measurable