Managing Financial Resources Lecture 1 2023 Update Solved Solution

True - ANS-T/F: Activist is usually measured and translated into financial units Financial Accounting - ANS-External Reporting summarized results past performance within a wider array of corporate information Management Accounting - ANS-Internal reporting detailed measurement past and projected performance Corporate Governance - ANS-the system of governing a company so that the interests of corporate owners and other stakeholders are protected True - ANS-T/F: The distance of ownership from control increases as you go from sole trader, partnership, private limited company, and public limited company public limited company - ANS-a limited company, often a large business, with the legal right to sell shares to the general public - share prices are quoted on the national stock exchange Private limited company - ANS-A business owned by shareholders with limited liability but whose shares cannot be bought by or sold to the general public. Sole trader - ANS-business owned and operated by one person Partnership - ANS-A business in which two or more persons combine their assets and skills Ownership is shareholders control is directors and management - ANS-What is the difference between ownership and control? Corporations - ANS-The separation of ownership from control is formalized in joint-stock or limited companies, also known as They are a separate legal entity. Which means companies can enter contracts on its own name. Meaning If I were an investor and invested into a limited company, I would bare no legal rights to the company and I would only risk what I exactly invested into the company. - ANS-Why are limited companies so popular? Continues...