18th Edition by Stanley Block, Geoffrey Hirt, Bartley
Danielsen| Verified Chapter's 1 – 21
, TABLE OF CONTENTS
PART 1 INTRODUCTION
1 The Goals and Activities of Financial Management PART 2 FINANCIAL ANALYSIS
AND PLANNING
2 Review of Accounting
3 Financial Analysis
4 Financial Forecasting
5 Operating and Financial Leverage
PART 3 WORKING CAPITAL MANAGEMENT
6 Working Capital and the Financing Decision
7 Current Asset Management
8 Sources of Short-Term Financing
PART 4 THE CAPITAL BUDGETING PROCESS
9 The Time Value of Money
10 Valuation and Rates of Return
11 Cost of Capital
12 The Capital Budgeting Decision
13 Risk and Capital Budgeting
PART 5 LONG-TERM FINANCING
14 Capital Markets
15 Investment Banking
16 Long-Term Debt and Lease Financing
17 Common and Preferred Stock Financing
18 Dividend Policy and Retained Earnings
19 Convertibles, Warrants, and Derivatives
PART 6 EXPANDING THE PERSPECTIVE OF CORPORATE FINANCE
20 External Growth through Mergers
21 International Financial Management
,Foundations Vof VFinancial VManagement, V18e V(Block)
Chapter V1 V V The VGoals Vand VActivities Vof VFinancial VManagement
1) As Vfinance Vemerged Vas Va Vnew Vfield, Vmuch Vemphasis Vwas Vplaced Von Vmergers
Vand V acquisitions.
Answer: VTRUE
V Difficulty: V1 VEasy
Topic: V VIntroduction Vto Vcorporate Vfinance
Learning VObjective: V V 01-01VThe Vfield Vof Vfinance Vintegrates Vconcepts Vfrom Veconomics,
V accounting,and Va Vnumber Vof Vother Vareas.
Bloom's: V
V Remember V AACSB:
Reflective
V Thinking
Accessibility: V V Keyboard VNavigation
2) Inflation Vis Vassumed Vto Vbe Va Vtemporary Vproblem Vthat Vdoes Vnot Vaffect Vfinancial
Vdecisions. V Answer: VFALSE
Difficulty: V1 VEasy
Topic: V V VFinancial Vmanagement Vdecisions
Learning VObjective: V V 01-01VThe Vfield Vof Vfinance Vintegrates Vconcepts Vfrom Veconomics,
V accounting,and Va Vnumber Vof Vother Vareas.
Bloom's: V
V Remember V AACSB:
Reflective
V Thinking
Accessibility: V V Keyboard VNavigation
3) Financial Vcapital Vis Vcomposed Vof Vlong-term Vplant Vand Vequipment, Vas Vwell Vas
Vother V tangibleinvestments.
Answer: VFALSE
V Difficulty: V1 VEasy
Topic: V VIntroduction Vto Vcorporate Vfinance
Learning VObjective: V V 01-01VThe Vfield Vof Vfinance Vintegrates Vconcepts Vfrom Veconomics,
V accounting,and Va Vnumber Vof Vother Vareas.
Bloom's: V
V Remember V AACSB:
Reflective
, Thinking
Accessibility: V V Keyboard VNavigation
4) Real Vcapital Vis Vcomposed Vof Vlong-term Vplant Vand
Vequipment. V AACSB: Reflective Thinking
Accessibility: VKeyboard VNavigation
5) During Vthe V1930s, Vfinancial Vpractice Vrevolved Varound Vsuch Vtopics Vas Vthe
Vpreservation Vof V capital,maintenance Vof Vliquidity, Vthe Vreorganization Vof Vfinancially
Vtroubled Vcorporations, V and Vbankruptcy.
Answer: VTRUE
V Difficulty: V1 VEasy
Topic: V VIntroduction Vto Vcorporate Vfinance
Learning VObjective: V V 01-01VThe Vfield Vof Vfinance Vintegrates Vconcepts Vfrom Veconomics,
V accounting,and Va Vnumber Vof Vother Vareas.
Bloom's: V
V Remember V AACSB:
Reflective
V Thinking
Accessibility: V V Keyboard VNavigation
6) In Vthe Vmid V1950s, Vfinance Vbegan Vto Vchange Vto Va Vmore Vanalytical, Vdecision-
oriented V approach.
Answer: VTRUE
V Difficulty: V1 VEasy
Topic: V VIntroduction Vto Vcorporate Vfinance
Learning VObjective: V V 01-01VThe Vfield Vof Vfinance Vintegrates Vconcepts Vfrom Veconomics,
V accounting,and Va Vnumber Vof Vother Vareas.
Bloom's: V
V Remember V AACSB:
Reflective
V Thinking
Accessibility: V V Keyboard VNavigation
7) Recently, Vthe Vemphasis Vof Vfinancial Vmanagement Vhas Vbeen Von Vthe Vrelationship
Vbetween V risk Vandreturn.
Answer: VTRUE
V Difficulty: V1 VEasy
Topic: V VIntroduction Vto Vcorporate Vfinance