NEW
Font size
WorksheetsFINANCIAL MANAGEMENT QUIZ 1
Total questions: 10
Worksheet time: 20mins
Which of the following best identifies the four main areas of finance?
Exchange rate management, investments, financial institutions and markets, international finance
Corporate finance, investments, capital structure, international finance
Corporate finance, investments, financial institutions and markets, international finance
Corporate finance, capital budgeting, financial institutions and markets, regulation
The set of financial activities that support the OPERATIONS of a business is best described by which main area of finance?
Corporate finance
Investments
Financial institutions and markets
International finance
The means by which a company is financed refers to the firm's ________.
capital budgeting
capital structure
accounts receivable management
working capital management
Managing the firm's short-term financing activities is known as ________.
capital budgeting
capital structure
accounts receivable management
working capital management
Which of the statements below is TRUE?
Accounting Identity is: Assets ≡ Liabilities - Owners' Equity.
Accounting Identity is: Assets ≡ Liabilities + Owners' Equity.
Accounting Identity is: Assets ≡ Owners' Equity - Liabilities.
Accounting Identity is: Liabilities ≡ Assets + Owners' Equity.
Your company just sold a product with the following payment plan: $40,000 today, $35,000 next year, and $30,000 the following year. If your firm places the payments into an account earning 6% per year, how much money will be in the account after collecting the last payment?
$118,767
$112,044
$94,074
$85,000
All financial transactions have a buyer and a seller.
TRUE
FALSE
If a company offers stock for sale for the first time and the proceeds go to the company, then this is a sale in the primary market.
TRUE
FALSE
The future value of a combination of positive and negative cash flows cannot be determined.
TRUE
FALSE
Financial markets can be classified by which of the following?
Type of asset traded
Maturity of the financial asset
Owner of the financial asset
All of the above can be classifications of financial markets.
