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Home Finance test bank & Solution Manual Test Bank For Fundamentals Of Corporate Finance 10th edition by Stephen Ross
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Test Bank For Fundamentals Of Corporate Finance 10th edition by Stephen Ross

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Edition: 10th Edition

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Resource Type: Test bank

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Test Bank For Fundamentals Of Corporate Finance 10th edition by Stephen Ross

Chapter 01

Introduction to Corporate Finance

 

Multiple Choice Questions

1. Which one of the following terms is defined as the management of a firm’s long-term investments?

A. working capital management

 

B. financial allocation

 

C. agency cost analysis

 

D. capital budgeting

 

E. capital structure

 

2. Which one of the following terms is defined as the mixture of a firm’s debt and equity financing?

A. working capital management

 

B. cash management

 

C. cost analysis

 

D. capital budgeting

 

E. capital structure

 

3. Which one of the following is defined as a firm’s short-term assets and its short-term liabilities?

A. working capital

 

B. debt

 

C. investment capital

 

D. net capital

 

E. capital structure

 

4. A business owned by a solitary individual who has unlimited liability for its debt is called a:

A. corporation.

 

B. sole proprietorship.

 

C. general partnership.

 

D. limited partnership.

 

E. limited liability company.

 

5. A business formed by two or more individuals who each have unlimited liability for all of the firm’s business debts is called a:

A. corporation.

 

B. sole proprietorship.

 

C. general partnership.

 

D. limited partnership.

 

E. limited liability company.

 

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