Unit 1 - Challenge 1 Goals and
Organizations of Financial
Management Questions and Answers
Finance is the study of fund management and
a. credit
b. accounting
c. economics
d. asset allocation - answerasset allocation
The primary purpose of finance is to __________.
a. manage assets in a way that maximizes returns
b. pay off debt as quickly as possible
c. study the effects of the economy on businesses
d. keep track of a business's cash flow - answermanage assets in a way that maximizes
returns
Corporate finance focuses primarily on decisions related to __________.
a. distribution and marketing
b. production and advertising
c. investment and financing
d. record-keeping and communication - answerinvestment and financing
______ is the process of determining the price that market participants would likely pay
for something.
a. Accounting
b. Analysis
c. Valuation
d. Financing - answervaluation
Valuation may be determined through __________.
a. allocation of scarce resources
b. fundamental analysis of financial statements
c. oversight of corporate governance
d. implementation of business strategies - answerfundamental analysis of financial
statements
Organizations of Financial
Management Questions and Answers
Finance is the study of fund management and
a. credit
b. accounting
c. economics
d. asset allocation - answerasset allocation
The primary purpose of finance is to __________.
a. manage assets in a way that maximizes returns
b. pay off debt as quickly as possible
c. study the effects of the economy on businesses
d. keep track of a business's cash flow - answermanage assets in a way that maximizes
returns
Corporate finance focuses primarily on decisions related to __________.
a. distribution and marketing
b. production and advertising
c. investment and financing
d. record-keeping and communication - answerinvestment and financing
______ is the process of determining the price that market participants would likely pay
for something.
a. Accounting
b. Analysis
c. Valuation
d. Financing - answervaluation
Valuation may be determined through __________.
a. allocation of scarce resources
b. fundamental analysis of financial statements
c. oversight of corporate governance
d. implementation of business strategies - answerfundamental analysis of financial
statements
