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Foundations of Financial Management
Author’s: Stanley Block, Geoffrey Hirt, Bartley Danielsen
18th Edition
,Table of Contents:
Chapter 1: The Goals and Activities of Financial Management
Chapter 2: Review of Accounting
Chapter 3: Financial Analysis
Chapter 4: Financial Forecasting
Chapter 5: Operating and Financial Leverage
Chapter 6: Working Capital and the Financing Decision
Chapter 7: Current Asset Management
Chapter 8: Sources of Short-Term Financing
Chapter 9: The Time Value of Money
Chapter 10: Valuation and Rates of Return
Chapter 11: Cost of Capital
Chapter 12: The Capital Budgeting Decision
Chapter 13: Risk and Capital Budgeting
Chapter 14: Capital Markets
Chapter 15: Investment Banking: Public and Private Placement
Chapter 16: Long-Term Debt and Lease Financing
Chapter 17: Common and Preferred Stock Financing
Chapter 18: Dividend Policy and Retained Earnings
Chapter 19: Convertibles, Warrants, and Derivatives
Chapter 20: External Growth through Mergers
Chapter 21: International Financial Management
,Foundations Of Financial Management, 18e (Block)
Chapter 1 The Goals And Activities Of Financial Management
1) As Finance Emerged As A New Field, Much Emphasis Was Placed On Mergers And Acquisitions.
Answer: TRUE Difficulty: 1 Easy
Topic: Introduction To Corporate Finance
Learning Objective: 01-01 The Field Of Finance Integrates Concepts From Economics, Accounting,
And A Number Of Other Areas.
Bloom's: Remember AACSB: Reflective Thinking
Accessibility: Keyboard Navigation
2) Inflation Is Assumed To Be A Temporary Problem That Does Not Affect Financial Decisions.
Answer: FALSE Difficulty: 1 Easy
Topic: Financial Management Decisions
Learning Objective: 01-01 The Field Of Finance Integrates Concepts From Economics, Accounting,
And A Number Of Other Areas.
Bloom's: Remember AACSB: Reflective Thinking
Accessibility: Keyboard Navigation
3) Financial Capital Is Composed Of Long-Term Plant And Equipment, As Well As Other Tangible
Investments.
Answer: FALSE Difficulty: 1 Easy
Topic: Introduction To Corporate Finance
Learning Objective: 01-01 The Field Of Finance Integrates Concepts From Economics, Accounting,
And A Number Of Other Areas.
Bloom's: Remember AACSB: Reflective Thinking
Accessibility: Keyboard Navigation
4) Real Capital Is Composed Of Long-Term Plant And Equipment.
, Answer: TRUE Difficulty: 1 Easy
Topic: Introduction To Corporate Finance
Learning Objective: 01-01 The Field Of Finance Integrates Concepts From Economics, Accounting,
And A Number Of Other Areas.
Bloom's: Remember
AACSB: Reflective Thinking Accessibility: Keyboard Navigation
5) During The 1930s, Financial Practice Revolved Around Such Topics As The Preservation Of
Capital, Maintenance Of Liquidity, The Reorganization Of Financially Troubled Corporations, And
Bankruptcy.
Answer: TRUE Difficulty: 1 Easy
Topic: Introduction To Corporate Finance
Learning Objective: 01-01 The Field Of Finance Integrates Concepts From Economics, Accounting,
And A Number Of Other Areas.
Bloom's: Remember AACSB: Reflective Thinking
Accessibility: Keyboard Navigation
6) In The Mid 1950s, Finance Began To Change To A More Analytical, Decision-Oriented Approach.
Answer: TRUE Difficulty: 1 Easy
Topic: Introduction To Corporate Finance
Learning Objective: 01-01 The Field Of Finance Integrates Concepts From Economics, Accounting,
And A Number Of Other Areas.
Bloom's: Remember AACSB: Reflective Thinking
Accessibility: Keyboard Navigation
7) Recently, The Emphasis Of Financial Management Has Been On The Relationship Between Risk
And Return.
Answer: TRUE Difficulty: 1 Easy
Topic: Introduction To Corporate Finance
Foundations of Financial Management
Author’s: Stanley Block, Geoffrey Hirt, Bartley Danielsen
18th Edition
,Table of Contents:
Chapter 1: The Goals and Activities of Financial Management
Chapter 2: Review of Accounting
Chapter 3: Financial Analysis
Chapter 4: Financial Forecasting
Chapter 5: Operating and Financial Leverage
Chapter 6: Working Capital and the Financing Decision
Chapter 7: Current Asset Management
Chapter 8: Sources of Short-Term Financing
Chapter 9: The Time Value of Money
Chapter 10: Valuation and Rates of Return
Chapter 11: Cost of Capital
Chapter 12: The Capital Budgeting Decision
Chapter 13: Risk and Capital Budgeting
Chapter 14: Capital Markets
Chapter 15: Investment Banking: Public and Private Placement
Chapter 16: Long-Term Debt and Lease Financing
Chapter 17: Common and Preferred Stock Financing
Chapter 18: Dividend Policy and Retained Earnings
Chapter 19: Convertibles, Warrants, and Derivatives
Chapter 20: External Growth through Mergers
Chapter 21: International Financial Management
,Foundations Of Financial Management, 18e (Block)
Chapter 1 The Goals And Activities Of Financial Management
1) As Finance Emerged As A New Field, Much Emphasis Was Placed On Mergers And Acquisitions.
Answer: TRUE Difficulty: 1 Easy
Topic: Introduction To Corporate Finance
Learning Objective: 01-01 The Field Of Finance Integrates Concepts From Economics, Accounting,
And A Number Of Other Areas.
Bloom's: Remember AACSB: Reflective Thinking
Accessibility: Keyboard Navigation
2) Inflation Is Assumed To Be A Temporary Problem That Does Not Affect Financial Decisions.
Answer: FALSE Difficulty: 1 Easy
Topic: Financial Management Decisions
Learning Objective: 01-01 The Field Of Finance Integrates Concepts From Economics, Accounting,
And A Number Of Other Areas.
Bloom's: Remember AACSB: Reflective Thinking
Accessibility: Keyboard Navigation
3) Financial Capital Is Composed Of Long-Term Plant And Equipment, As Well As Other Tangible
Investments.
Answer: FALSE Difficulty: 1 Easy
Topic: Introduction To Corporate Finance
Learning Objective: 01-01 The Field Of Finance Integrates Concepts From Economics, Accounting,
And A Number Of Other Areas.
Bloom's: Remember AACSB: Reflective Thinking
Accessibility: Keyboard Navigation
4) Real Capital Is Composed Of Long-Term Plant And Equipment.
, Answer: TRUE Difficulty: 1 Easy
Topic: Introduction To Corporate Finance
Learning Objective: 01-01 The Field Of Finance Integrates Concepts From Economics, Accounting,
And A Number Of Other Areas.
Bloom's: Remember
AACSB: Reflective Thinking Accessibility: Keyboard Navigation
5) During The 1930s, Financial Practice Revolved Around Such Topics As The Preservation Of
Capital, Maintenance Of Liquidity, The Reorganization Of Financially Troubled Corporations, And
Bankruptcy.
Answer: TRUE Difficulty: 1 Easy
Topic: Introduction To Corporate Finance
Learning Objective: 01-01 The Field Of Finance Integrates Concepts From Economics, Accounting,
And A Number Of Other Areas.
Bloom's: Remember AACSB: Reflective Thinking
Accessibility: Keyboard Navigation
6) In The Mid 1950s, Finance Began To Change To A More Analytical, Decision-Oriented Approach.
Answer: TRUE Difficulty: 1 Easy
Topic: Introduction To Corporate Finance
Learning Objective: 01-01 The Field Of Finance Integrates Concepts From Economics, Accounting,
And A Number Of Other Areas.
Bloom's: Remember AACSB: Reflective Thinking
Accessibility: Keyboard Navigation
7) Recently, The Emphasis Of Financial Management Has Been On The Relationship Between Risk
And Return.
Answer: TRUE Difficulty: 1 Easy
Topic: Introduction To Corporate Finance