d076 Lesson checks
Which area of finance deals with sources of funding and the capital structure of corporations and seeks to increase the value of a firm to its owners? a) Financial institutions b) Real estate c) Investments d) Business finance - d) Business finance Business finance is the area of finance that deals with uses and sources of funding to increase the value of the firm. What is the primary difference between finance and accounting? a) Accounting involves investing and forecasting, while finance summarizes a company's financial information. b) Accounting focuses on the future, while finance is generally backward-looking. c) Finance focuses on the future, while accounting is generally backward-looking. d) Finance provides financial data to decision makers, and accounting involves making decisions using that data - c) Finance focuses on the future, while accounting is generally backward-looking. Finance is the management and allocation of capital with the objectives of investing, forecasting, budgeting, saving, lending, and borrowing. Which subspecialty of finance primarily involves deciding which assets will create more wealth and earn positive returns? a) Financial institutions
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