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Exam (elaborations)

FINANCIAL MANAGEMENT EXAM QUESTIONS AND CORRECT ANSWERS

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FINANCIAL MANAGEMENT EXAM QUESTIONS AND CORRECT ANSWERS

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Uploaded on
November 28, 2025
Number of pages
2
Written in
2025/2026
Type
Exam (elaborations)
Contains
Questions & answers

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  • financial management exam questions and correct an

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FINANCIAL MANAGEMENT EXAM
QUESTIONS AND CORRECT
ANSWERS
NetA2workingA2capitalA2isA2definedA2as:A2-A2Ans--
currentA2assetsA2minusA2currentA2liabilities

TheA2commonA2setA2ofA2standardsA2andA2proceduresA2byA2whichA2auditedA2financialA2stat
ementsA2areA2preparedA2isA2knownA2asA2the:A2-A2Ans--
GenerallyA2AcceptedA2AccountingA2Principles

TheA2percentageA2ofA2theA2nextA2dollarA2youA2earnA2thatA2mustA2beA2paidA2inA2taxesA2isA2r
eferredA2toA2as:A2-A2Ans--TheA2marginalA2taxA2rate

TheA2cashA2flowA2relatedA2toA2interestA2paymentsA2lessA2anyA2newA2newA2borrowingsA2isA
2calledA2the:A2-A2Ans--cashA2flowA2toA2creditors


WhichA2oneA2ofA2theA2followingA2statementsA2concerningA2netA2workingA2capitalA2isA2corre
ct?A2-A2Ans--
NetA2workingA2capitalA2increasesA2whenA2inventoryA2isA2soldA2forA2cashA2atA2aA2profit.

WhichA2oneA2ofA2theA2followingA2accountsA2isA2theA2mostA2liquid?A2-A2Ans--

WhichA2oneA2ofA2theseA2isA2mostA2aptA2toA2beA2aA2fixedA2cost?A2-A2Ans--

WhichA2oneA2ofA2theA2followingA2termsA2isA2deniedA2asA2theA2managementA2ofA2aA2firm'sA2
long-termA2investments?A2-A2Ans--capitalA2budgeting

WhichA2oneA2ofA2theA2followingA2termsA2isA2definedA2asA2theA2mixtureA2ofA2aA2firmsA2debtA2
andA2equityA2finanacing?A2-A2Ans--capitalA2structure

WhichA2oneA2ofA2theA2followingA2isA2aA2capitalA2structureA2decision?A2-A2Ans--
determiningA2theA2amountA2ofA2fundsA2neededA2toA2financeA2customerA2purchasesA2ofA2aA
2newA2product.


WhichA2oneA2ofA2theA2followingA2functionsA2shouldA2beA2theA2responsibilityA2ofA2theA2contr
ollerA2ratherA2thanA2theA2treasurer?A2-A2Ans--equipmentA2purchaseA2analysis

WhichA2ofA2theA2followingA2areA2advantagesA2ofA2theA2corporateA2formA2ofA2businessA2ow
nership?A2-A2Ans--1)A2limitedA2liabilityA2forA2firmA2debt
2)A2abilityA2toA2raiseA2capital
3)A2unlimitedA2firmA2life
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