FINANCE MIDTERM - Chapter 1-6 Questions and Answer
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The Four Basic Areas of Finance are: - -1. Corporate Finance 
2. Investments 
3. Financial Markets and Institutions 
4. International Finance 
 
-What is the focus of corporate finance (3 basic issues)? - -1. What long-term investments should a firm take on? 
2. Where will you get the long-term financing to pay for your investment? 
3. How will you manage your everyday financial activities such as collecting from customers and paying suppliers? 
 
-Capital Budgeting - -The process of planning an...