WGU D775
Study online at https://quizlet.com/_i603x4
1. Risk-return trade-off A principle that guides business finance to optimize resource use.
2. Capital raising Securing funding for business operations and projects.
3. Money management Involves the creation, circulation, and management of money.
activity
4. Common stock A share of ownership in a firm with voting rights.
5. Preferred stock char- Fixed dividends.
acteristic
6. Purpose of bonds for To raise capital without diluting ownership.
issuers
7. Junk bonds Speculative bonds.
8. Options in financial They give the buyer the right, but not the obligation, to buy or sell an asset.
derivatives
9. Economies of scale By making large-scale investments that reduce transaction costs.
for funds
10. Initial public offering The first sale of a company's stock to the public.
(IPO)
11. Secondary market The trading of stocks on the New York Stock Exchange.
activity
12. Types of financial Primary markets and secondary markets.
markets
13. Role of financial reg- Ensuring fair and transparent markets.
ulators
, WGU D775
Study online at https://quizlet.com/_i603x4
14. Depository institu- Institutions that accept deposits and provide loans.
tions
15. Primary source of Interest income from loans.
revenue for deposi-
tory institutions
16. Rising Consumer It indicates increased costs for raw materials and labor.
Price Index (CPI) ef-
fect
17. Return on equity Beating their return on equity goals for each quarter
goals
18. Environmental, so- Impact of integrating ESG criteria into investment decisions
cial, and governance
(ESG) criteria
19. Long-term risks Seeking long-term risks to protect stakeholders
20. Financial ratios for Purpose of using financial ratios for investors
investors
21. Standardized ba- How financial ratios help in comparing companies
sis for performance
evaluation
22. Performance bench- How financial ratios aid in performance benchmarking
marking
23. Profitability ratios What do profitability ratios indicate?
24. Current ratio What does the current ratio evaluate?
Study online at https://quizlet.com/_i603x4
1. Risk-return trade-off A principle that guides business finance to optimize resource use.
2. Capital raising Securing funding for business operations and projects.
3. Money management Involves the creation, circulation, and management of money.
activity
4. Common stock A share of ownership in a firm with voting rights.
5. Preferred stock char- Fixed dividends.
acteristic
6. Purpose of bonds for To raise capital without diluting ownership.
issuers
7. Junk bonds Speculative bonds.
8. Options in financial They give the buyer the right, but not the obligation, to buy or sell an asset.
derivatives
9. Economies of scale By making large-scale investments that reduce transaction costs.
for funds
10. Initial public offering The first sale of a company's stock to the public.
(IPO)
11. Secondary market The trading of stocks on the New York Stock Exchange.
activity
12. Types of financial Primary markets and secondary markets.
markets
13. Role of financial reg- Ensuring fair and transparent markets.
ulators
, WGU D775
Study online at https://quizlet.com/_i603x4
14. Depository institu- Institutions that accept deposits and provide loans.
tions
15. Primary source of Interest income from loans.
revenue for deposi-
tory institutions
16. Rising Consumer It indicates increased costs for raw materials and labor.
Price Index (CPI) ef-
fect
17. Return on equity Beating their return on equity goals for each quarter
goals
18. Environmental, so- Impact of integrating ESG criteria into investment decisions
cial, and governance
(ESG) criteria
19. Long-term risks Seeking long-term risks to protect stakeholders
20. Financial ratios for Purpose of using financial ratios for investors
investors
21. Standardized ba- How financial ratios help in comparing companies
sis for performance
evaluation
22. Performance bench- How financial ratios aid in performance benchmarking
marking
23. Profitability ratios What do profitability ratios indicate?
24. Current ratio What does the current ratio evaluate?