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Chapter 1 Finance
Finance Chapter 1
6
Finance
Undergraduate 4
09/14/2015

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Cards

Term
Financial managers are responsible for determining:
Definition
. how suppliers will be paid.
the appropriate level of debt for a firm.
which projects a firm should undertake.
how to invest the firm's cash.
Term
Business finance includes determining which long-term assets a firm should purchase.
Definition
True
Term
Liza is trying to decide whether her firm should acquire more debt or issue additional shares of stock. Which type of decision is Liza making?
Definition
capital structure
Term
A decision to increase which one of the following accounts would be classified as a capital budgeting decision?

inventory
equipment
cash
common stock
Definition
equipment
Term
Which one of the following statements applies to a limited partnership?
Definition
All general partners have unlimited liability for the partnership's debts.
Term
Increasing the current value of which one of the following best matches the goal of financial management?
Definition
stock price
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