Inventory is a material and goods that are held by a company that it will sell within a year.

The objective of a financial plan is to minimize the profits.

Retained earning are net profits retained for the firm's rather than paid out in dividend to shareholder.

Bond have high administrative and selling cost.

Risk control is the concept of risk transfer and risk avoidance.

Pure risks is involves the possibility of obtaining a gain(profit) or loss for the company.

Hybrid financing has feature of common stock and retained earning.

Liability insurance is part of property insurance.

Insurance premium is a fee paid to an insurance company by policy holder.

Budgeting is not compulsory for any firm to plan.

Not all risk can be insured.

Life insurance covers financial losses of individual property.

Long term loan and corporate bond are part of debts financing.

Short term expenditure are incurred regularly in a firm's everyday business activities.

Trade credit is granting of credit by one firm to another.

Inventories are difference between a firm's current asset and current liabilities.

Insurable risk must meet four criteria which is predictability, casualty, unconnectedness and verifiability.

Captain America was injured from the activities related to his occupation. This injury can be covered by property insurance.

Designing a new product is example of pure risk.

All of the following are sources of a long term funds EXCEPT ......

"..... are generally the most favored sources of long term capital because there are no interest or dividend payment required".

The above statement can best be referred as ...

Which of the following would not represent a need of short term financing?

All of the following are the advantages of a corporate bond, EXCEPT ....

Funds due from customers who have on credits is known as ....

Common stock is the issuing shares that pay dividend the stock holder which it is included in .....

Below are the types of insurance in business EXCEPT ...

Which of the following are NOT an example of short term expenditure?

Bousted Bhd has decided to retain its net profit rather than paying dividends to its stockholder. which of the following describe the financing method used by this company?

Under the normal circumstances, customer who have good banking relationship will received .....

............. refers to the loss that must be result from accident, not from intentional act by the policy holder.