1、公司金融单选公司金融单选( (删减后删减后) ) CHAPTER 1 Introduction to Corporate Finance I.DEFINITIONS CHIEF FINANCIALOFFICER (CFO) a2.The top financial officer in a firm is commonly referred to as the: a.chief financial officer. b.president of finance. c.controller. d.treasurer. e.finance manager. CAPITALBUDGETING a4.
2、The process of managing a firms long-term investments is called: a.capital budgeting. b.working capital management. c.credit management. d.cost accounting. e.capital structure management. CAPITALSTRUCTURE c5.The amount of debt and equity used by a firm to finance its operations is called the firms:
3、a.debt ratio. b.working capital ratio. c.capital structure. d.financial position. e.cash position. WORKING CAPITAL d6.Short-term assets and short-term liabilities are referred to as the firms: a.cash flow. b.capital budget. c.capital structure. d.working capital. e.financing mix. WORKING CAPITALMANA
4、GEMENT e7.The management of a firms cash, inventory, and payables is referred to as: a.cash flow forecasting. b.asset management. c.capital management. d.cash budgeting. e.working capital management. SOLE PROPRIETORSHIP d8.Asole proprietorship is defined as a business: a.that is five or less years o
5、ld. b.with two or less owners. c.that is created informally. d.that is owned by a single individual. e.that has a single general partner. PARTNERSHIP d9.A business organization that is similar to a sole proprietorship but has two or more owners is called a: a.limited liability company. b.corporation
6、. c.dual company. d.partnership. e.joint stock company. PARTNERSHIPAGREEMENT a10.The document which specifies how net profits and losses are to be divided among two or more individual owners, who are personally liable for the firms debts, is called: a.a partnership agreement. b.the corporate by-laws
7、. c.the articles of incorporation. d.the partnership bill of rights. e.the limiting agreement. CORPORATION d11.Abusiness entity which is treated as a legal “person” is called a: a.limited partnership. b.sole proprietorship. c.general partnership. d.corporation. e.private venture. LIMITED LIABIILTY C
8、OMPANY (LLC) b14.Alimited liability company can be defined as a: a.business entity with both general and limited partners. b.cross between a partnership and a corporation. c.sole proprietorship which is taxed like a partnership. d.general partnership which is taxed like a corporation. e.limited part
9、nership which is taxed like a corporation. AGENCY PROBLEM c15.Any situation where a potential conflict can arise between the firms owners and its managers is referred to as a(n): a.organizational problem. b.personnel conflict. c.agency problem. d.control issue. pensation issue. STAKEHOLDER e16.Anyon
10、e other than the firms stockholders or creditors that might have a claim on the cash flows of a firm is called a: a.residual owner. b.shareholder. c.liaison. d.provisional partner. e.stakeholder. PRIMARYMARKET a17.The primary market refers to: a.the original sale of securities by the issuer. b.trans
11、actions between two institutional shareholders. c.the sale of securities by an individual shareholder. d.the first trade of a firms securities when the financial markets open in the morning. e.all transactions on the NYSE. SECONDARYMARKET c18.The market for trading securities after the original sale
12、 is called the: a.primary market. b.private placement market. c.secondary market. d.listed market. e.corporate market. PUBLIC OFFERING b19.The sale of securities to the general public by the issuer is known as a: a.secondary market offering. b.public offering. c.private placement. d.private offering
13、. e.negotiated sale. PRIVATE PLACEMENT e20.Anegotiated sale of securities by an issuer to a specific buyer is called a(n): a.public offering. b.secondary placement. c.specialized sale. d.independent placement. e.private placement. DEALER MARKET a21.Over-the-counter markets are _ markets. a.dealer b.
14、franchise c.private d.auction e.physical AUCTION MARKET c22.A securities market with a physical location that is designed to match buyers with sellers is called a(n) _ market. a.dealer b.private c.auction d.franchise e.block sale II.CONCEPTS INVESTMENTS c24.Which one of the following questions falls
15、 into the financial topic of investments? a.Which type of equipment should be purchased to produce a new product? b.How long should the firm wait before paying its suppliers? c.What are the risks involved with owning a particular security? d.Should this customer be granted credit? e.How should the f
16、irm pay for its new building? BUSINESS FINANCE a27.Business finance addresses which one of the following questions? a.Which long-term assets should a firm acquire? b.Which stocks should be purchased by a mutual fund? c.Which method of depreciation should be used by a firm for financial statement pur
17、poses? d.What is a particular stock worth in todays market? e.Should a company agree to insure the property owned by a particular firm? CAPITALBUDGETING b30.The purpose of capital budgeting is to: a.avoid all projects that involve risk. b.identify assets that produce value in excess of their cost. c
18、.determine the correct mix of debt and equity for a firm. d.appropriately control the level of inventory on hand. e.control the short-term financing used by a firm. CAPITALBUDGETING c31.Which one of the following statements is related to capital budgeting? a.Afirm should monitor the ratio of debt to
19、 equity financing which it uses. b.Afirm should monitor the amount of its current assets as compared to its current liabilities. c.Afirm should consider the size, risk, and timing of an assets cash flows before deciding to purchase that asset. d.Afirm should consider various types of loans offered b
20、y various lenders before taking out a loan. e.Afirm should determine the ideal level of inventory that should be kept on hand. CAPITALSTRUCTURE d33.The capital structure of a firm refers to the firms: a.buildings and equipment. b.organizational chart. c.available cash. d.long-term debt and equity. e
21、.current assets and liabilities. WORKING CAPITALMANAGEMENT b35.The daily financial operations of a firm are primarily controlled by managing the _ of the firm. a.total debt b.working capital c.capital structure d.capital budget e.long-term liabilities SOLE PROPRIETORSHIP c36.Asole proprietor: a.earn
22、s income which is subject to double taxation. b.incurs significant legal costs to form his or her business entity. c.assumes personal liability for all of the debts of the business. d.creates a business entity with an unlimited life. e.can generally raise unlimited equity to finance his or her busin
23、ess activities. GENERALPARTNERSHIP e38.Under a general partnership,: a.limited partners control the daily activities of the firm but face unlimited liability for all of the debts of the partnership. b.limited partners enjoy limited liability but lose the ability to be involved in the daily operation
24、s of the partnership. c.each partners potential loss is limited to his or her investment in the firm but he or she has unlimited say over the daily operations of the partnership. d.the general partner has unlimited liability and must consult with the limited partners on daily operational issues. e.e
25、ach partner receives only a proportionate share of the profits but is responsible for 100 percent of the partnership debts. LIMITED PARTNERSHIP e40.The advantage of being a limited partner in a limited partnership is the ability to: a.profit without risking your investment. b.actively manage the fir
26、m without losing more than you invested. c.raise capital while you still maintain total control over the daily operations. d.be taxed on any profits separately from your personal income. e.invest in a partnership while limiting your loses to the amount you invested. CORPORATION c42.Acorporation: a.c
27、an neither sue another party nor be sued. b.may own property but can not borrow funds to do so. c.may be considered a resident of an individual state. d.can issue its own stock but can not purchase stock in another entity. e.can be formed by an oral agreement amongst the shareholders. CORPORATION c4
28、3.The bylaws of a corporation include information such as the: a.intended life of the corporation. pany name. c.method by which directors are elected. d.number of shares of stock that can be issued. e.business purpose of the organization. LIMITED LIABILITY COMPANY a44.The primary advantages of a lim
29、ited liability company are the: a.means of taxation and the limits on the liabilities assumed by the owners. b.avoidance of any financial loss and the corporate taxation. c.limited liabilities for the limited partners and the control of management by the general partners. d.ease of trading the share
30、s of stock in the firm and the personal taxation of the net profits. e.limited liabilities and the double taxation. GOALOF FINANCIALMANAGMENT d46.The primary goal of financial management is to maximize the: a.current net income. working capital. c.the number of shares outstanding. d.market value of
31、the existing stock. e.capital structure. GOALOF FINANCIALMANAGEMENT c47.Which one of the following actions best matches the primary goal of financial management? a.increasing the size of the company by acquiring another firm in a different industry b.decreasing the variable costs while increasing th
32、e fixed costs per unit sold c.increasing the market value of the equity by improving the efficiency of operations d.decreasing the liquidity of the firm while increasing the long-term debt e.increasing the net working capital while maintaining the same level of sales AGENCY PROBLEM d48.Which one of
33、the following situations is most apt to create an agency problem? a.an employee receives a pay raise based on his or her extraordinary contributions to the firm b.an employee is paid twice the normal wage for working overtime to complete a special project on time for a customer c.a manager is reward
34、ed because the employees in his or her department had no accidents for a year d.a manager receives a bonus because he or she has hired the most new employees in the past year e.the company president receives a bonus based on the profits of the firm AGENCY PROBLEM c49.An agency problem frequently exi
35、sts in situations where there is a separation of: a.treasury and controller functions. b.working capital and capital structure management. pany ownership and company management. d.marketing and financial management. e.investment and working capital management. CONTROLOFTHE FIRM c50.The control of a
36、corporation ultimately lies with the: a.chief financial officer. pany president. pany stockholders. d.chairman of the board. e.chief executive officer. PRIMARYMARKET d53.Which one of the following transactions occurs in the primary market? a.ABC Co. sells XYS stock on the NYSE. b.Jane sells shares o
37、f GHI to Robert. c.Martha sells shares of KLM to her son. d.POQ sells new shares of POQ to Frederico. e.QRS buys back shares of QRS from Alicia. SECONDARYMARKET e55.Which one of the following statements is correct concerning the secondary markets? a.The secondary markets are limited to auction marke
38、ts. b.The secondary markets are those which conduct business over-the-counter only. c.The term secondary markets refers to electronic exchanges that do not have a physical location. d.Secondary markets are all auction markets such as the NYSE and NASDAQ. e.Secondary markets can be either dealer or a
39、uction markets. FINANCIALMARKETS d58.All large company stocks such as General Electric and Microsoft: a.trade on the NYSE. b.trade in auction markets. c.must trade in dealer markets. d.can trade on the exchange of their choosing as long as they qualify for listing. e.trade over-the-counter due to th
40、e large volume of trading that occurs daily. FINANCIALMARKETS a60.The financial markets in the U.S.: a.transact trades in both the primary and the secondary markets. b.are the only significant financial markets in the world. c.are all auction markets while the international markets are primarily dea
41、ler markets. d.trade securities only after the securities have been registered with the National Association of Securities Dealers (NASD). e.trade equity securities only. CHAPTER 2 Financial Statements, Taxes, and Cash Flow I.DEFINITIONS BALANCE SHEET b1.Abalance sheet is a financial statement that:
42、 a.reports the cash flows of a firm as of a specified date. b.reflects a firms accounting value on a particular date. c.records the revenues and expenses for a firm over a period of time. d.reflects the market value of a firm as of the statement date. e.reports the net income for a designated period
43、 of time based on the Generally AcceptedAccounting Principles. CURRENTASSETS c2.Acurrent asset is defined as an asset that: a.was purchased after the last financial statement date. b.was purchased within the past twelve months. c.normally converts to cash within one year. d.was manufactured within t
44、he past year and has yet to be sold. e.is highly illiquid. FIXEDASSETS a3.Afixed asset by definition: a.has a relatively long life. b.has a life of one year or more and is a tangible asset. c.includes both highly liquid assets and intangible assets. d.is equal to total assets minus net working capit
45、al. e.converts to cash within one year. TANGIBLEASSETS e4.Atangible asset: a.is defined as any asset which adds value to a firm. b.by definition includes both equipment and patents. c.is another term for a fixed asset. d.is defined as an asset with a market value that exceeds the book value. e.is a
46、fixed asset with a physical existence. INTANGIBLEASSETS a5.An intangible asset is a: a.valuable fixed asset that has no physical existence. b.physical fixed asset that loses value over time, such as equipment. c.fully-depreciated fixed asset which has no remaining market value. d.current asset with
47、a negligible book value but considerable market value. e.current asset with minimal market value and no physical existence. CURRENT LIABILITIES b25.Which one of the following debts is a current liability? a.mortgage on a building that is payable over the next twenty years b.bill payable to a supplie
48、r for the purchase of inventory for resale c.note payable to the owner which is due two years from today d.five-year bonds issued to the general public e.eighteen-month loan from the local bank LONG-TERM DEBT a26.Long-term debt can be computed by: a.adding net working capital to total fixed assets a
49、nd then subtracting ownersequity. b.subtracting ownersequity from total assets. c.subtracting net working capital from total assets. d.adding current liabilities to total assets and subtracting ownersequity. e.subtracting net working capital from total liabilities. NET WORKING CAPITAL d7.Net working capital is defined as the: a.change in current assets over a stated period of time. b.amount of money used to acquire new fixed assets minus any asset sales. change in the cash flow related to the current assets of a firm. d.difference between a firms current assets and its current liabilities. e
