Fundamentals of Corporate Finance, 5th Edition by Robert , David , Bates & Gillan. (All Chapters 1-21) | TEST BANK

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FundamentalsofCorporateFinance,5thEdition
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byRobertParrino,DavidKidwell,AllChapters1-21
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, Chapter 1 m The Financial Managerandthe Firm
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1) The financialmanager isresponsible formakingdecisions that are in thebest interestsofthe firm's
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owners.
Answer: TRUE Diff: 1 mm m m




LearningObjective: LO1 Bloomcode: m mm m m mm




Knowledge AACSB: Analytic m m




IMA: FSA mmm




AICPA: Process and ResourceManagement Perspectives
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2) Apatentisaproductive asset foratechnology-
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basedfirm. Answer: TRUE
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Diff: 1
m




LearningObjective: LO1 Bloomcode: m mm m m mm




Knowledge AACSB: Analytic m m




IMA: Business Economics
mm m




AICPA: Global and IndustryPerspectives
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3) Intangibleassetsgeneratemostofamanufacturingfirm'scash flows. Ans
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wer: FALSE
mm




Diff: 2
m




LearningObjective: LO1 Bloomcode: m mm m m mm




Application AACSB: Analytic m m




IMA: Corporate Finance
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AICPA: Process and ResourceManagement Perspectives
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4) Themostfundamentalwayabusinesscangrowinsizeisbyreinvestingcashflowsorearnings. Answe
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r: TRUE
mm




Diff: 1
m




LearningObjective: LO1 Bloomcode: m mm m m mm




Knowledge AACSB: Analytic m m




IMA: FSA mmm




AICPA: ProcessandResourceManagementPerspectives
mm m m m m




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