TEST BANK CORPORATE FINANCE 13TH EDITION BY STEPHEN ROSS, RANDOLPH WESTERFIELD, CHAPTERS 1 - 21, COMPLETE

TEST BANK CORPORATE FINANCE 13TH
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EDITION BY STEPHEN ROSS, RANDOLPH
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WESTERFIELD, CHAPTERS 1 - 21, COMPLETE
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, Chapter 1 &.&




MULTIPLE CHOICE WITH CORRECT AND VERIFIED ANSWERS AT THE
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BOTTOM
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Choose the one alternative that best completes thefstatement orfanswers the
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question.
1) Generally, among those who report directlyto the &.& &.& &.& &.& &.& &.&




are the treasurer and thecontroller of a corporation.
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A) board of directors &.& &.&




B) chairperson of the board &.& &.& &.&




C) chief executive officer &.& &.&




D) president
E) chief financial officer &.& &.&




2) A typical chainfof command in a corporation is described by which one of the
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&.& followingfsta tements? &.&




A) Thefinformation systems manager reports to the treasurer. &.& &.& &.& &.& &.& &.&




B) The credit managerfreportsto the treasurer.
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C) The controllerfreports to the chief executive officer.
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D) Theftax managerfreports to the treasurer.&.& &.& &.& &.&




E) The capital expenditures manager reportsto the controller.
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3) Answering which one of the following questions involves making a capital
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budgetingfde cision? &.&




&.&

,A) How much debt should the firm borrow from a particular lender?
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B) Should the firm build a new production facility?
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C) Should the firm issue new equityto payfor its growth goals?
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D) How much inventoryshould the firm keep on hand?
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E) How much credit shouldfthe firmextend to afparticular customer?
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4) Which one of the following statements is accurate?
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A) Net working capitalequals current assets plus current liabilities.
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B) Current liabilities are debts that must befrepaid in 18 months orfless.
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C) Current assets are assets with short lives, such as accounts receivable.
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D) Long-term debt is defined as a residual claim on a firm’s assets.
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E) Tangible assets are fixed assets such as patents.
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5) Among theftypical responsibilitiesfof the corporatefcontroller is:
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A) capital expenditures management.
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B) cash management.
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C) tax reporting.
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D) financial planning. &.&




E) credit management.&.&

, 6) is typically the responsibilityof the corporate treasurer.
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A) Financial planning &.&




B) Cost accounting&.&




C) Tax reporting&.&




D) Informationsystems
E) Financialaccounting




7) A firm’s
&.& define(s) its capital structure. &.& &.& &.&




&.&




A) mixture of various types of production equipment
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B) investment selections for its excess cash reserves
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C) combination of cash and cash equivalents &.& &.& &.& &.& &.&




D) combination of accounts appearing on the left side of its balance sheet
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E) proportions of financing fromdebt and equity &.& &.& &.& &.& &.&




8) The focus of short-term finance is on:
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A) the timingfof cash flows.
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B) acquiringfand sellingffixed assets. &.& &.&




C) financingflong-termprojects.
D) capital budgeting. &.&




E) issuing additional shares of common stock.
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