dt
1
Copyright © 2019 McGraw-Hill Education. All rights reserved.
dt dt dt dt dt dt dt
No reproduction or distribution without the prior written consent of McGraw-Hill Education.
dt dt dt dt dt dt dt dt dt dt dt
,Foundations of Financial Management, 17e (Block) dt dt dt dt dt
Chapter 1 The Goals and Activities of Financial Management
dt dt dt dt dt dt dt
1) As finance emerged as a new field, much emphasis was placed on mergers and acquisitions.
dt dt dt dt dt dt dt dt dt dt dt dt dt dt
Answer: TRUE d t dt
Difficulty: 1 Easy dt dt
Topic: Introduction to corporate finance
d t d t dt dt dt
Learning Objective: 01- dt d t
01 The field of finance integrates concepts from economics, accounting, and a number of other areas
dt dt dt dt dt dt dt dt dt dt dt dt dt dt dt
.
Bloom's:
Remember AACSB dt
: Reflective Thinking dt dt
Accessibility: Keyboard Navigation dt
2) Inflation is assumed to be a temporary problem that does not affect financial decisions.
dt dt dt dt dt dt dt dt dt dt dt dt dt
Answer: FALSE d t d
Difficulty: 1 Easy
t dt dt
Topic: Financial management decisions dt dt
Learning Objective: 01- dt d t
01 The field of finance integrates concepts from economics, accounting, and a number of other areas
dt dt dt dt dt dt dt dt dt dt dt dt dt dt dt
.
Bloom's:
Remember AACSB dt
: Reflective Thinking dt dt
Accessibility: Keyboard Navigation dt
3) Financial capital is composed of long- dt dt dt dt dt
term plant and equipment, as well as other tangible investments.
dt dt dt dt dt dt dt dt dt
Answer: FALSE d t d
Difficulty: 1 Easy
t dt dt
Topic: Introduction to corporate finance
d t d t dt dt dt
Learning Objective: 01- dt d t
01 The field of finance integrates concepts from economics, accounting, and a number of other areas
dt dt dt dt dt dt dt dt dt dt dt dt dt dt dt
.
Bloom's:
Remember AACSB dt
: Reflective Thinking dt dt
Accessibility: Keyboard Navigation dt
4) Real capital is composed of long-term plant and equipment.
dt dt dt dt dt dt dt dt
Answer: TRUE d t dt
2
Copyright © 2019 McGraw-Hill Education. All rights reserved. dt dt dt dt dt dt dt
No reproduction or distribution without the prior written consent of McGraw-Hill Education.
dt dt dt dt dt dt dt dt dt dt dt
,Difficulty: 1 Easy dt dt
Topic: Introduction to corporate finance
d t d t dt dt dt
Learning Objective: 01-
dt d t
01 The field of finance integrates concepts from economics, accounting, and a number of other areas
dt dt dt dt dt dt dt dt dt dt dt dt dt dt dt
.
Bloom's: Remember
3
Copyright © 2019 McGraw-Hill Education. All rights reserved.
dt dt dt dt dt dt dt
No reproduction or distribution without the prior written consent of McGraw-Hill Education.
dt dt dt dt dt dt dt dt dt dt dt
, AACSB: Reflective Thinking Access dt dt dt
ibility: Keyboard Navigation
d t d t dt
5) During the 1930s, financial practice revolved around such topics as the preservation of capital, m
dt dt dt dt dt dt dt dt dt dt dt dt dt dt
aintenance of liquidity, the reorganization of financially troubled corporations, and bankruptcy.
dt dt dt dt dt dt dt dt dt dt
Answer: TRUE d t dt
Difficulty: 1 Easy dt dt
Topic: Introduction to corporate finance
d t d t dt dt dt
Learning Objective: 01- dt d t
01 The field of finance integrates concepts from economics, accounting, and a number of other areas
dt dt dt dt dt dt dt dt dt dt dt dt dt dt dt
.
Bloom's:
Remember AACSB dt
: Reflective Thinking dt dt
Accessibility: Keyboard Navigation dt
6) In the mid 1950s, finance began to change to a more analytical, decision-oriented approach.
dt dt dt dt dt dt dt dt dt dt dt dt dt
Answer: TRUE d t dt
Difficulty: 1 Easy dt dt
Topic: Introduction to corporate finance
d t d t dt dt dt
Learning Objective: 01- dt d t
01 The field of finance integrates concepts from economics, accounting, and a number of other areas
dt dt dt dt dt dt dt dt dt dt dt dt dt dt dt
.
Bloom's:
Remember AACSB dt
: Reflective Thinking dt dt
Accessibility: Keyboard Navigation dt
7) Recently, the emphasis of financial management has been on the relationship between risk and ret
dt dt dt dt dt dt dt dt dt dt dt dt dt dt
urn.
Answer: TRUE d t dt
Difficulty: 1 Easy dt dt
Topic: Introduction to corporate finance
d t d t dt dt dt
Learning Objective: 01- dt d t
01 The field of finance integrates concepts from economics, accounting, and a number of other area
dt dt dt dt dt dt dt dt dt dt dt dt dt dt dt
s.; 01-03 The relationship of risk to return is a central focus of finance. Bloom's: Understand
dt dt dt dt dt dt dt dt dt dt dt dt dt dt d t
AACSB: Analytical Thinking Access dt dt dt
ibility: Keyboard Navigation
d t dt
8) The first Nobel Prizes given to finance professors were for their contributions to capital str
dt dt dt dt dt dt dt dt dt dt dt dt dt dt
ucture theory and portfolio theories of risk and return.
dt dt dt dt dt dt dt dt
Answer: TRUE d t dt
Difficulty: 1 Easy dt dt
4
Copyright © 2019 McGraw-Hill Education. All rights reserved. dt dt dt dt dt dt dt
No reproduction or distribution without the prior written consent of McGraw-Hill Education.
dt dt dt dt dt dt dt dt dt dt dt
1
Copyright © 2019 McGraw-Hill Education. All rights reserved.
dt dt dt dt dt dt dt
No reproduction or distribution without the prior written consent of McGraw-Hill Education.
dt dt dt dt dt dt dt dt dt dt dt
,Foundations of Financial Management, 17e (Block) dt dt dt dt dt
Chapter 1 The Goals and Activities of Financial Management
dt dt dt dt dt dt dt
1) As finance emerged as a new field, much emphasis was placed on mergers and acquisitions.
dt dt dt dt dt dt dt dt dt dt dt dt dt dt
Answer: TRUE d t dt
Difficulty: 1 Easy dt dt
Topic: Introduction to corporate finance
d t d t dt dt dt
Learning Objective: 01- dt d t
01 The field of finance integrates concepts from economics, accounting, and a number of other areas
dt dt dt dt dt dt dt dt dt dt dt dt dt dt dt
.
Bloom's:
Remember AACSB dt
: Reflective Thinking dt dt
Accessibility: Keyboard Navigation dt
2) Inflation is assumed to be a temporary problem that does not affect financial decisions.
dt dt dt dt dt dt dt dt dt dt dt dt dt
Answer: FALSE d t d
Difficulty: 1 Easy
t dt dt
Topic: Financial management decisions dt dt
Learning Objective: 01- dt d t
01 The field of finance integrates concepts from economics, accounting, and a number of other areas
dt dt dt dt dt dt dt dt dt dt dt dt dt dt dt
.
Bloom's:
Remember AACSB dt
: Reflective Thinking dt dt
Accessibility: Keyboard Navigation dt
3) Financial capital is composed of long- dt dt dt dt dt
term plant and equipment, as well as other tangible investments.
dt dt dt dt dt dt dt dt dt
Answer: FALSE d t d
Difficulty: 1 Easy
t dt dt
Topic: Introduction to corporate finance
d t d t dt dt dt
Learning Objective: 01- dt d t
01 The field of finance integrates concepts from economics, accounting, and a number of other areas
dt dt dt dt dt dt dt dt dt dt dt dt dt dt dt
.
Bloom's:
Remember AACSB dt
: Reflective Thinking dt dt
Accessibility: Keyboard Navigation dt
4) Real capital is composed of long-term plant and equipment.
dt dt dt dt dt dt dt dt
Answer: TRUE d t dt
2
Copyright © 2019 McGraw-Hill Education. All rights reserved. dt dt dt dt dt dt dt
No reproduction or distribution without the prior written consent of McGraw-Hill Education.
dt dt dt dt dt dt dt dt dt dt dt
,Difficulty: 1 Easy dt dt
Topic: Introduction to corporate finance
d t d t dt dt dt
Learning Objective: 01-
dt d t
01 The field of finance integrates concepts from economics, accounting, and a number of other areas
dt dt dt dt dt dt dt dt dt dt dt dt dt dt dt
.
Bloom's: Remember
3
Copyright © 2019 McGraw-Hill Education. All rights reserved.
dt dt dt dt dt dt dt
No reproduction or distribution without the prior written consent of McGraw-Hill Education.
dt dt dt dt dt dt dt dt dt dt dt
, AACSB: Reflective Thinking Access dt dt dt
ibility: Keyboard Navigation
d t d t dt
5) During the 1930s, financial practice revolved around such topics as the preservation of capital, m
dt dt dt dt dt dt dt dt dt dt dt dt dt dt
aintenance of liquidity, the reorganization of financially troubled corporations, and bankruptcy.
dt dt dt dt dt dt dt dt dt dt
Answer: TRUE d t dt
Difficulty: 1 Easy dt dt
Topic: Introduction to corporate finance
d t d t dt dt dt
Learning Objective: 01- dt d t
01 The field of finance integrates concepts from economics, accounting, and a number of other areas
dt dt dt dt dt dt dt dt dt dt dt dt dt dt dt
.
Bloom's:
Remember AACSB dt
: Reflective Thinking dt dt
Accessibility: Keyboard Navigation dt
6) In the mid 1950s, finance began to change to a more analytical, decision-oriented approach.
dt dt dt dt dt dt dt dt dt dt dt dt dt
Answer: TRUE d t dt
Difficulty: 1 Easy dt dt
Topic: Introduction to corporate finance
d t d t dt dt dt
Learning Objective: 01- dt d t
01 The field of finance integrates concepts from economics, accounting, and a number of other areas
dt dt dt dt dt dt dt dt dt dt dt dt dt dt dt
.
Bloom's:
Remember AACSB dt
: Reflective Thinking dt dt
Accessibility: Keyboard Navigation dt
7) Recently, the emphasis of financial management has been on the relationship between risk and ret
dt dt dt dt dt dt dt dt dt dt dt dt dt dt
urn.
Answer: TRUE d t dt
Difficulty: 1 Easy dt dt
Topic: Introduction to corporate finance
d t d t dt dt dt
Learning Objective: 01- dt d t
01 The field of finance integrates concepts from economics, accounting, and a number of other area
dt dt dt dt dt dt dt dt dt dt dt dt dt dt dt
s.; 01-03 The relationship of risk to return is a central focus of finance. Bloom's: Understand
dt dt dt dt dt dt dt dt dt dt dt dt dt dt d t
AACSB: Analytical Thinking Access dt dt dt
ibility: Keyboard Navigation
d t dt
8) The first Nobel Prizes given to finance professors were for their contributions to capital str
dt dt dt dt dt dt dt dt dt dt dt dt dt dt
ucture theory and portfolio theories of risk and return.
dt dt dt dt dt dt dt dt
Answer: TRUE d t dt
Difficulty: 1 Easy dt dt
4
Copyright © 2019 McGraw-Hill Education. All rights reserved. dt dt dt dt dt dt dt
No reproduction or distribution without the prior written consent of McGraw-Hill Education.
dt dt dt dt dt dt dt dt dt dt dt
