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Introduction to Corporate Finance

Total questions: 9

Worksheet time: 3mins

Name
Class
Date
1.

What is corporation?

a)

legal entity that separate from its owner

b)

legal entity that have only 1 owner

c)

legal entity that have few owners

d)

legal entity with limited partnership

2.

Which is NOT types of firms?

a)

Sole Proprietorship

b)

Limited Liability Companies

c)

Ownership

d)

Partnership

3.

Which firm has unlimited owner liability?

a)

Limited Liability Companies

b)

Limited Partnership

c)

Sole proprietorship

d)

Corporation

4.

The commonly accepted goal of an MNC is to

a)

maximize short-term earnings.

b)

minimize risk.

c)

maximize shareholder wealth.

d)

all of the answers

5.

Which of the following theories suggests that firms seek to penetrate new markets over time?

a)

theory of comparative advantage

b)

product cycle theory

c)

imperfect markets theory

d)

none

6.

Capital budgeting decisions are used to determine how to raise the cash necessary for investments.

a)

True

b)

False

7.

The term of capital structure refers to:

a)

the mix of long-term debt and equity financing.

b)

the length of time needed to repay debt.

c)

the type of assets a firm acquires.

d)

is part of making investment decision.

8.

The lecturer for this subject name is

a)

Dr. Suzillah Sidek

b)

Dr. Suzila Sidek

c)

Dr. Nurshila Ameen

d)

Dr. Norsuzila Sidek

9.

Your current obsession is...

4 lines