PF Quiz - 1

Increase market share

Minimise costs

Maximise shareholders' wealth

Maximise profit

Investment decision

Capital structure

Financing decision

Marketing decision

It focuses on long-term investments

It considers riskiness of cash flows

It maximises shareholder value

It ignores cash flow and timing

Assets = Liabilities + Equity

Assets = Liabilities - Equity

Liabilities = Assets + Equity

Equity = Assets - Liabilities

Employee satisfaction

Timing of cash flow

Cash flow

Riskiness of expected cash flow

Voluntary activities for sustainable operation

Maximising profits at all costs

Reducing employee benefits

Focusing solely on shareholder wealth

Marketing strategies

Product development

Risk management

Human resources management

Accruals accounting records transactions when cash is received or paid

Accruals accounting is simpler than cash accounting

Cash accounting records transactions when cash is received or paid

Both methods are the same

Increasing sales revenue

Establishing effective communication

Reducing operational costs

Maximising shareholder wealth

All money has the same value over time

Money received today is worth more than money received in the future

Money received in the future is worth more than money received today

Future cash flows are irrelevant