TEST BANK
Corporate Finance: Core Principles and
Applications, 7th Edition
By Stephen A. Ross, Randolph W. Westerfield
N
U
R
SE
D
O
C
S
,TABLE OF CONTENT
PART ONE: OVERVIEW
Chapter One: Introduction to Corporate Finance
Chapter Two: Financial Statements and Cash Flow
Chapter Three: Financial Statements Analysis and FinancialModels
PART TWO: VALUATION AND CAPITAL BUDGETING
Chapter Four: Discounted Cash Flow Valuation
N
Chapter Five: Interest Rates and Bond Valuation
U
Chapter Six: Stock Valuation
Chapter Seven: Net Present Value and Other Investment Rules
R
Chapter Eight: Making Capital Investment Decisions
Chapter Nine: Risk Analysis, Real Options, and CapitalBudgeting
SE
PART THREE: RISK AND RETURN
Chapter Ten: Risk and Return: Lessons from Market History
D
Chapter Eleven: Return and Risk: The Capital Asset PricingModel (CAPM)
Chapter Twelve: Risk, Cost of Capital, and Valuation
O
PART FOUR: CAPITAL STRUCTURE AND DIVIDEND POLICY
C
Chapter Thirteen: Efficient Capital Markets and BehavioralChallenges
Chapter Fourteen: Capital Structure: Basic Concepts
S
Chapter Fifteen: Capital Structure: Limits to the Use ofDebt
Chapter Sixteen: Dividends and Other Payouts
PART FIVE: SPECIAL TOPICS
Chapter Seventeen: Options and Corporate Finance
Chapter Eighteen: Short-Term Finance and Planning
,Chapter Nineteen: Raising Capital
Chapter Twenty: International Corporate Finance
Chapter Twenty-One: Mergers and Acquisitions (web only)
N
U
R
SE
D
O
C
S
, Student name:__________
MULTIPLE CHOICE - Choose the one alternative that best completes the statement or
answers the question.
Which one of the following items is an intangible asset?
A building
Accounts receivable
Inventory
N
A loan from a creditor
A patent
U
Current assets include
R
inventory and cash.
cash and buildings.
SE
inventory and machinery.
equipment and cash.
buildings and inventory.
D
Short-term finance
O
ensures sufficient equipment is available to produce the desired amount of product.
ensures that long-term debt is acquired at the lowest possible cost.
C
ensures that dividends are paid to all stockholders on an annual basis.
balances the amount of company debt with the amount of available equity.
S
is concerned with managing net working capital.
Which one of the following is a capital budgeting decision?
Deciding whether to build a new distribution center
Determining how quickly to pay their accounts payable
Version 1 1
Corporate Finance: Core Principles and
Applications, 7th Edition
By Stephen A. Ross, Randolph W. Westerfield
N
U
R
SE
D
O
C
S
,TABLE OF CONTENT
PART ONE: OVERVIEW
Chapter One: Introduction to Corporate Finance
Chapter Two: Financial Statements and Cash Flow
Chapter Three: Financial Statements Analysis and FinancialModels
PART TWO: VALUATION AND CAPITAL BUDGETING
Chapter Four: Discounted Cash Flow Valuation
N
Chapter Five: Interest Rates and Bond Valuation
U
Chapter Six: Stock Valuation
Chapter Seven: Net Present Value and Other Investment Rules
R
Chapter Eight: Making Capital Investment Decisions
Chapter Nine: Risk Analysis, Real Options, and CapitalBudgeting
SE
PART THREE: RISK AND RETURN
Chapter Ten: Risk and Return: Lessons from Market History
D
Chapter Eleven: Return and Risk: The Capital Asset PricingModel (CAPM)
Chapter Twelve: Risk, Cost of Capital, and Valuation
O
PART FOUR: CAPITAL STRUCTURE AND DIVIDEND POLICY
C
Chapter Thirteen: Efficient Capital Markets and BehavioralChallenges
Chapter Fourteen: Capital Structure: Basic Concepts
S
Chapter Fifteen: Capital Structure: Limits to the Use ofDebt
Chapter Sixteen: Dividends and Other Payouts
PART FIVE: SPECIAL TOPICS
Chapter Seventeen: Options and Corporate Finance
Chapter Eighteen: Short-Term Finance and Planning
,Chapter Nineteen: Raising Capital
Chapter Twenty: International Corporate Finance
Chapter Twenty-One: Mergers and Acquisitions (web only)
N
U
R
SE
D
O
C
S
, Student name:__________
MULTIPLE CHOICE - Choose the one alternative that best completes the statement or
answers the question.
Which one of the following items is an intangible asset?
A building
Accounts receivable
Inventory
N
A loan from a creditor
A patent
U
Current assets include
R
inventory and cash.
cash and buildings.
SE
inventory and machinery.
equipment and cash.
buildings and inventory.
D
Short-term finance
O
ensures sufficient equipment is available to produce the desired amount of product.
ensures that long-term debt is acquired at the lowest possible cost.
C
ensures that dividends are paid to all stockholders on an annual basis.
balances the amount of company debt with the amount of available equity.
S
is concerned with managing net working capital.
Which one of the following is a capital budgeting decision?
Deciding whether to build a new distribution center
Determining how quickly to pay their accounts payable
Version 1 1
