Fin 201 Exam 1 (Lessons 1-4) Questions and
Correct Answers
What are the Financial sub specialties?
Corporate, Investment, and institutions
what does the corporate sub specialty do?
How private companies manage financies to get best results
what does the investments sub specialty do?
deal w/ other peoples money - stocks/bonds and try to get good return for clients
what does the institutions sub specialty do?
banks, insurance funds, and careers within large institutions
what are the different careers in finance:
asset management, commercial banking, corporate finance, financial law, financial planning,
hedge funds, insurance, investment banking, management consulting, private equity, and real
estate
how does finance fit into business management?
finance makes sure that all units are woring as effectively and efficiently as possible.
what do asset managers do
invests other people money in various assets like stocks/bonds to generate returns
what do commercial bankers do:
focuses on financial services to individuals and businesses, including managing accounts and
offering loans
, what does corporate finance do:
manages a company's finances including investment and financing decisions, cash
management, and financial policy implications
financial law:
legal aspects of finance, creating, monitoring, and enforcing financial regulations
financial planning
helps individuals achieve their financial plans by assisting with budgeting, investing, tax
planning, and estate planning
hedge funds:
manages and invests fund's ->complex stategy ->short selling + derivatives to achieve high
returns
insurance:
helps individuals + businesses manage risks by providing financial protection against
potential losses.
Investment banking:
facilitates mergers and acquisitions, helps companies raise capital through offerings +
provides sales + trading services
Management Consulting:
helps firms improve performance by identifying inefficiencies + suggesting better alternatives
private equity
invests in private companies often taking on debt to buy + improve firms for a profit
Correct Answers
What are the Financial sub specialties?
Corporate, Investment, and institutions
what does the corporate sub specialty do?
How private companies manage financies to get best results
what does the investments sub specialty do?
deal w/ other peoples money - stocks/bonds and try to get good return for clients
what does the institutions sub specialty do?
banks, insurance funds, and careers within large institutions
what are the different careers in finance:
asset management, commercial banking, corporate finance, financial law, financial planning,
hedge funds, insurance, investment banking, management consulting, private equity, and real
estate
how does finance fit into business management?
finance makes sure that all units are woring as effectively and efficiently as possible.
what do asset managers do
invests other people money in various assets like stocks/bonds to generate returns
what do commercial bankers do:
focuses on financial services to individuals and businesses, including managing accounts and
offering loans
, what does corporate finance do:
manages a company's finances including investment and financing decisions, cash
management, and financial policy implications
financial law:
legal aspects of finance, creating, monitoring, and enforcing financial regulations
financial planning
helps individuals achieve their financial plans by assisting with budgeting, investing, tax
planning, and estate planning
hedge funds:
manages and invests fund's ->complex stategy ->short selling + derivatives to achieve high
returns
insurance:
helps individuals + businesses manage risks by providing financial protection against
potential losses.
Investment banking:
facilitates mergers and acquisitions, helps companies raise capital through offerings +
provides sales + trading services
Management Consulting:
helps firms improve performance by identifying inefficiencies + suggesting better alternatives
private equity
invests in private companies often taking on debt to buy + improve firms for a profit
