TEST BANK For Foundations of Financial Management, 18th Edition by Stanley Block, Geoffrey Hirt, Bartley Danielsen| Verified Chapter's 1 - 21 | Complete Newest Version

1 Test

,Bank for Foundations of Financial Management by Block & Hirt | Complete Edition
d d d d d d d d d d d d



Foundations of Financial Management, 17e (Block)
d d d d d


Chapter 1 The Goals and Activities of Financial Management
d d d d d d d




1) As financeemerged asa new field, muchemphasiswasplaced onmergersand acquisitions.
d d d d d d d




Answer: TRUE
Difficulty:1Easy
d


Topic: Introductionto corporate finance d d


LearningObjective: 01-01Thefieldoffinance integratesconceptsfromeconomics,accounting, and
d j d d


da number of other areas.
d d d d


Bloom's: Remember
AACSB: ReflectiveThinking
d


Accessibility: KeyboardNavigation

2) Inflationisassumedto beatemporaryproblemthatdoesnot affect financialdecisions.
d d d d d d




Answer: FALSE
Difficulty:1Easy
d d


Topic: Financialmanagementdecisions
LearningObjective: 01-01Thefieldoffinance integratesconceptsfromeconomics,accounting, and
d j d d


da number of other areas.
d d d d


Bloom's: Remember
AACSB: ReflectiveThinking
d


Accessibility: KeyboardNavigation

3) Financialcapitaliscomposed oflong-termplant andequipment, aswellasothertangible
d j d d j




dinvestments.

Answer: FALSE
Difficulty:1Easy
d d


Topic: Introductionto corporate finance d d


LearningObjective: 01-01Thefieldoffinance integratesconceptsfromeconomics,accounting, and
d j d d


da number of other areas.
d d d d


Bloom's: Remember
AACSB: ReflectiveThinking
d


Accessibility: KeyboardNavigation

4) Realcapitaliscomposed oflong-termplant and equipment. d d d




Answer: TRUE
Difficulty:1Easy
d


Topic: Introductionto corporate finance d d


LearningObjective: 01-01Thefieldoffinance integratesconceptsfromeconomics,accounting, and
d j d d


da number of other areas.
d d d d


Bloom's: Remember
2

,AACSB: Reflective Thinking
Accessibility:
d Keyboard
Navigation
d




5) Duringthe1930s, financialpracticerevolved aroundsuchtopicsasthepreservationofcapital,
d d


maintenanceofliquidity, thereorganizationoffinanciallytroubled corporations, andbankruptcy.
d d d d




Answer: TRUE
Difficulty:1Easy
d


Topic: Introductionto corporate finance d d


LearningObjective: 01-01Thefieldoffinance integratesconceptsfromeconomics,accounting, and
d j d d


da number of other areas.
d d d d


Bloom's: Remember
AACSB: ReflectiveThinking
d


Accessibility: KeyboardNavigation

6) Inthe mid 1950s, financebeganto changeto amoreanalytical, decision-oriented approach.
d d d d d d d




Answer: TRUE
Difficulty:1Easy
d


Topic: Introductionto corporate finance d d


LearningObjective: 01-01Thefieldoffinance integratesconceptsfromeconomics,accounting, and
d j d d


da number of other areas.
d d d d


Bloom's: Remember
AACSB: ReflectiveThinking
d


Accessibility: KeyboardNavigation

7) Recently, theemphasisoffinancialmanagement hasbeenonthe relationship betweenriskand
d d d d


return.
d




Answer: TRUE
Difficulty:1Easy
d


Topic: Introductionto corporate finance d d


Learning Objective: 01-01 The field of finance integrates concepts from economics, accounting,
d d d d d d d d d d d


and a number of other areas.; 01-03 The relationship of risk to return is a central focus of finance.
d d d d d d d d d d d d d d d d d d d


Bloom's: Understand
d d


AACSB: Analytical Thinking
Accessibility:
d Keyboard
Navigation
d




8) Thefirst NobelPrizesgivento financeprofessorswerefortheircontributionstocapital
d j d


dstructure theoryand portfolio theories of risk and return.
d d d d d d d




Answer: TRUE
Difficulty:1Easy
d


Topic: Introductionto corporate finance d d


Learning Objective: 01-01Thefieldoffinance integratesconceptsfromeconomics,accounting,
d j d and
3

, anumber of other areas.
d d d


Bloom's: Remember
d




4