TEST BANK Corporate Finance 13th Edition By Stephen Ross,
Randolph Westerfield, Chapters 1 - 21
Chapterf1
Studentfname:_f
MULTIPLEfCHOICEf-
fChoosefthefonefalternativefthatfbestfcompletesfthefstatementforanswersffthefquestion.
1) Generally,famongfthosefwhofreportfdirectlyftofthe
areftheftreasurerfandfthefcontrollerfoffafcorporation.
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, A) boardfoffdirectors
B) chairpersonfoffthefboard
C) chieffexecutivefofficer
D) president
E) chiefffinancialfofficer
2) Aftypicalfchainfoffcommandfinfafcorporationfisfdescribedfbyfwhichfonefofftheffollowingstaf
tements?
A) Thefinformationfsystemsfmanagerfreportsftoftheftreasurer.
B) Thefcreditfmanagerfreportsftoftheftreasurer.
C) Thefcontrollerfreportsftofthefchieffexecutivefofficer.
D) Theftaxfmanagerfreportsftoftheftreasurer.
E) Thefcapitalfexpendituresfmanagerfreportsftofthefcontroller.
3) Answeringfwhichfonefofftheffollowingfquestionsfinvolvesfmakingfafcapitalfbudgetingdef cision?
Howfmuchfdebtfshouldftheffirmfborrowffromfafparticularflender?
Shouldftheffirmfbuildfafnewfproductionffacility?
Shouldftheffirmfissuefnewfequityftofpayfforfitsfgrowthfgoals?
Howfmuchfinventoryfshouldftheffirmfkeepfonfhand?
Howfmuchfcreditfshouldftheffirmfextendftofafparticularfcustomer?
4) Whichfonefofftheffollowingfstatementsfisfaccurate?
A) Netfworkingfcapitalfequalsfcurrentfassetsfplusfcurrentfliabilities.
B) Currentfliabilitiesfarefdebtsfthatfmustfbefrepaidfinf18fmonthsforfless.
C) Currentfassetsfarefassetsfwithfshortflives,fsuchfasfaccountsfreceivable.
D) Long-termfdebtfisfdefinedfasfafresidualfclaimfonfaffirm’sfassets. E)
Tangiblefassetsfareffixedfassetsfsuchfasfpatents.
5) Amongftheftypicalfresponsibilitiesfoffthefcorporatefcontrollerfis:
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, A)
B)
C)
D)
E)
A) capitalfexpendituresfmanagement.
B) cashfmanagement.
C) taxfreporting.
D) financialfplanning.
E) creditfmanagement.
6) f isftypicallyfthefresponsibilityfoffthefcorporateftreasurer.
A) Financialfplanning
B) Costfaccounting
C) Taxfreporting
D) Informationfsystems
E) Financialfaccounting
7) Affirm’s define(s)fitsfcapitalfstructure.
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, A)
B)
C)
D)
E)
mixturefoffvariousftypesfoffproductionfequipment
investmentfselectionsfforfitsfexcessfcashfreserves
combinationfoffcashfandfcashfequivalents
combinationfoffaccountsfappearingfonfthefleftfsidefoffitsfbalancefsheet
proportionsfofffinancingffromfdebtfandfequity
8) Theffocusfoffshort-termffinancefisfon:
A) theftimingfoffcashfflows.
B) acquiringfandfsellingffixedfassets.
C) financingflong-termfprojects.
D) capitalfbudgeting.
E) issuingfadditionalfsharesfoffcommonfstock.
9) Netfworkingfcapitalfincludes:
A) copyrights.
B) manufacturingfequipment.
C) commonfstock.
D) long-termfdebt. E) inventory.
10) f isfdefinedfasfplanningfandfmanagingfaffirm’sflong-termfassets.
A) Workingfcapitalfmanagement B) Cashfmanagement
C) Costfaccountingfmanagement
D) Capitalfbudgeting
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Randolph Westerfield, Chapters 1 - 21
Chapterf1
Studentfname:_f
MULTIPLEfCHOICEf-
fChoosefthefonefalternativefthatfbestfcompletesfthefstatementforanswersffthefquestion.
1) Generally,famongfthosefwhofreportfdirectlyftofthe
areftheftreasurerfandfthefcontrollerfoffafcorporation.
Versionf1 1
, A) boardfoffdirectors
B) chairpersonfoffthefboard
C) chieffexecutivefofficer
D) president
E) chiefffinancialfofficer
2) Aftypicalfchainfoffcommandfinfafcorporationfisfdescribedfbyfwhichfonefofftheffollowingstaf
tements?
A) Thefinformationfsystemsfmanagerfreportsftoftheftreasurer.
B) Thefcreditfmanagerfreportsftoftheftreasurer.
C) Thefcontrollerfreportsftofthefchieffexecutivefofficer.
D) Theftaxfmanagerfreportsftoftheftreasurer.
E) Thefcapitalfexpendituresfmanagerfreportsftofthefcontroller.
3) Answeringfwhichfonefofftheffollowingfquestionsfinvolvesfmakingfafcapitalfbudgetingdef cision?
Howfmuchfdebtfshouldftheffirmfborrowffromfafparticularflender?
Shouldftheffirmfbuildfafnewfproductionffacility?
Shouldftheffirmfissuefnewfequityftofpayfforfitsfgrowthfgoals?
Howfmuchfinventoryfshouldftheffirmfkeepfonfhand?
Howfmuchfcreditfshouldftheffirmfextendftofafparticularfcustomer?
4) Whichfonefofftheffollowingfstatementsfisfaccurate?
A) Netfworkingfcapitalfequalsfcurrentfassetsfplusfcurrentfliabilities.
B) Currentfliabilitiesfarefdebtsfthatfmustfbefrepaidfinf18fmonthsforfless.
C) Currentfassetsfarefassetsfwithfshortflives,fsuchfasfaccountsfreceivable.
D) Long-termfdebtfisfdefinedfasfafresidualfclaimfonfaffirm’sfassets. E)
Tangiblefassetsfareffixedfassetsfsuchfasfpatents.
5) Amongftheftypicalfresponsibilitiesfoffthefcorporatefcontrollerfis:
Versionf1 2
, A)
B)
C)
D)
E)
A) capitalfexpendituresfmanagement.
B) cashfmanagement.
C) taxfreporting.
D) financialfplanning.
E) creditfmanagement.
6) f isftypicallyfthefresponsibilityfoffthefcorporateftreasurer.
A) Financialfplanning
B) Costfaccounting
C) Taxfreporting
D) Informationfsystems
E) Financialfaccounting
7) Affirm’s define(s)fitsfcapitalfstructure.
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, A)
B)
C)
D)
E)
mixturefoffvariousftypesfoffproductionfequipment
investmentfselectionsfforfitsfexcessfcashfreserves
combinationfoffcashfandfcashfequivalents
combinationfoffaccountsfappearingfonfthefleftfsidefoffitsfbalancefsheet
proportionsfofffinancingffromfdebtfandfequity
8) Theffocusfoffshort-termffinancefisfon:
A) theftimingfoffcashfflows.
B) acquiringfandfsellingffixedfassets.
C) financingflong-termfprojects.
D) capitalfbudgeting.
E) issuingfadditionalfsharesfoffcommonfstock.
9) Netfworkingfcapitalfincludes:
A) copyrights.
B) manufacturingfequipment.
C) commonfstock.
D) long-termfdebt. E) inventory.
10) f isfdefinedfasfplanningfandfmanagingfaffirm’sflong-termfassets.
A) Workingfcapitalfmanagement B) Cashfmanagement
C) Costfaccountingfmanagement
D) Capitalfbudgeting
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