quiz1-350-sample

quiz1-350-sample - Quiz 1(40 minutes 1 Businesses can be...

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Quiz 1 (40 minutes) . 1. Businesses can be organized as A) sole proprietorships B) partnerships C) corporations D) any of the above E) None of the above Answer: D 2. Generally, a corporation is owned by the: A) Managers B) Board of Directors C) Shareholders D) All of the above. E) None of the above Answer: C 3. Limited liability is an important feature of: A) Sole proprietorships B) Partnerships C) Corporations D) All of the above E) None of the above Answer: C 4. A firm's investment decision is also called the: A) Financing decision B) Capital budgeting decision C) Liquidity decision D) Any of the above E) None of the above Answer: B 5. The goal of a financial manager is to: A) Maximize sales B) Maximize profits C) Maximize the value of the debt holders
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D) Maximize the value of the firm with both bond and stock holders E) None of the above Answer: E 6. Which of the following is the function of a financial market A) provide liquidity B) risk management C) efficient allocation of money D) provide information. E) all of the above Answer: E 7. One common reason for partnerships to convert to a corporate form of organization is that the partnership: A) faces rapidly growing marketing requirements. B) wishes to avoid taxation of profits. C) has issued all of its allotted shares. D)
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This note was uploaded on 10/05/2011 for the course FIN 350 taught by Professor Chen during the Spring '07 term at S.F. State.

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quiz1-350-sample - Quiz 1(40 minutes 1 Businesses can be...

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