1
Copyright © 2019 McGraw-Hill Education. All rights reserved.
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No reproduction or distribution without the prior written consent of McGraw-Hill Education.
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,Test Bank for Foundations of Financial Management by Block & Hirt | Complete Edition
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Foundations of Financial Management, 17e (Block)
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Chapter 1 The Goals and Activities of Financial Management
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1) As financeemerged asa new field, muchemphasiswas placed onmergersand acquisitions.
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Answer:
TRUE
Difficulty:1Easy
mt
Topic: Introductionto corporate finance mt mt
Learning Objective: 01-
m
t
01Thefieldoffinanceintegratesconceptsfromeconomics,accounting, and a number of other areas.
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Bloom's:
Remember AACS mt
B: ReflectiveThinking
Accessibility: KeyboardNavigation
2) Inflation is assumed to beatemporaryproblemthat does not affect financialdecisions.
j mt j mt mt
Answer:
FALSE
Difficulty:1 Easy
mt m
t
Topic: Financialmanagement decisions j
Learning Objective: 01-
m
t
01Thefieldoffinanceintegratesconceptsfromeconomics,accounting, and a number of other areas.
j mt m t mt mt mt mt
Bloom's:
Remember AACS mt
B: ReflectiveThinking
Accessibility: KeyboardNavigation
3) Financialcapitaliscomposed oflong-
j
termplant andequipment, aswellasothertangible investments.
j mt mt j mt
Answer:
FALSE
Difficulty:1 Easy
mt m
t
Topic: Introduction to corporate finance j mt mt
Learning Objective: 01-
m
t
01Thefieldoffinanceintegratesconceptsfromeconomics,accounting, and a number of other areas.
j mt m t mt mt mt mt
Bloom's:
Remember AACS mt
B: ReflectiveThinking
Accessibility: KeyboardNavigation
4) Realcapitaliscomposed oflong-termplant and equipment. mt mt mt
2
Copyright © 2019 McGraw-Hill Education. All rights reserved. mt mt mt mt mt mt mt
No reproduction or distribution without the prior written consent of McGraw-Hill Education.
mt mt mt mt mt mt mt mt mt mt mt
,Answer:
TRUE
Difficulty:1Easy
mt
Topic: Introduction to corporate finance
j mt mt
Learning Objective: 01-
m
t
01Thefieldoffinanceintegratesconceptsfromeconomics,accounting, and a number of other areas.
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Bloom's: Remember
3
Copyright © 2019 McGraw-Hill Education. All rights reserved.
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No reproduction or distribution without the prior written consent of McGraw-Hill Education.
mt mt mt mt mt mt mt mt mt mt mt
, AACSB: Reflective
Thinking Accessibility mt
: Keyboard Navigation mt
5) Duringthe1930s, financialpracticerevolvedaroundsuchtopicsasthepreservation ofcapital, m
mt j j m t
aintenanceofliquidity, thereorganizationoffinanciallytroubled corporations, andbankruptcy.
mt mt mt
Answer:
TRUE
Difficulty:1Easy
mt
Topic: Introduction to corporate finance j mt mt
Learning Objective: 01- m
t
01Thefieldoffinanceintegratesconceptsfromeconomics,accounting, and a number of other areas.
j mt m t mt mt mt mt
Bloom's:
Remember AACS mt
B: ReflectiveThinking
Accessibility: KeyboardNavigation
6) Inthe mid 1950s, financebeganto changeto amoreanalytical, decision-oriented approach.
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Answer:
TRUE
Difficulty:1Easy
mt
Topic: Introduction to corporate finance j mt mt
Learning Objective: 01- m
t
01Thefieldoffinanceintegratesconceptsfromeconomics,accounting, and a number of other areas.
j mt m t mt mt mt mt
Bloom's:
Remember AACS mt
B: ReflectiveThinking
Accessibility: KeyboardNavigation
7) Recently, theemphasisoffinancialmanagement has beenonthe relationship betweenriskand
mt jmt j mt mt mt
return.
Answer:
TRUE
Difficulty:1Easy
mt
Topic: Introduction to corporate finance j mt mt
Learning Objective: 01- mt m t m t
01 The field of finance integrates concepts from economics, accounting, and a number of other are
mt mt mt mt mt mt mt mt mt mt mt mt mt mt mt
as.; 01-03 The relationship of risk to return is a central focus of finance. Bloom's: Understand
mt mt mt mt mt mt mt mt mt mt mt mt mt mt m t m t
AACSB: Analytical
Thinking Accessibility mt
: Keyboard Navigation mt
8) Thefirst NobelPrizesgiven to financeprofessorswerefortheircontributionstocapital s
mt j j mt mt
tructure theoryand portfolio theories of risk and return.
mt mt mt mt mt mt mt
4
Copyright © 2019 McGraw-Hill Education. All rights reserved. mt mt mt mt mt mt mt
No reproduction or distribution without the prior written consent of McGraw-Hill Education.
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Copyright © 2019 McGraw-Hill Education. All rights reserved.
mt mt mt mt mt mt mt
No reproduction or distribution without the prior written consent of McGraw-Hill Education.
mt mt mt mt mt mt mt mt mt mt mt
,Test Bank for Foundations of Financial Management by Block & Hirt | Complete Edition
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Foundations of Financial Management, 17e (Block)
mt mt mt mt mt
Chapter 1 The Goals and Activities of Financial Management
mt mt mt mt mt mt mt
1) As financeemerged asa new field, muchemphasiswas placed onmergersand acquisitions.
mt mt mt mt mt j
Answer:
TRUE
Difficulty:1Easy
mt
Topic: Introductionto corporate finance mt mt
Learning Objective: 01-
m
t
01Thefieldoffinanceintegratesconceptsfromeconomics,accounting, and a number of other areas.
j mt m t mt mt mt mt
Bloom's:
Remember AACS mt
B: ReflectiveThinking
Accessibility: KeyboardNavigation
2) Inflation is assumed to beatemporaryproblemthat does not affect financialdecisions.
j mt j mt mt
Answer:
FALSE
Difficulty:1 Easy
mt m
t
Topic: Financialmanagement decisions j
Learning Objective: 01-
m
t
01Thefieldoffinanceintegratesconceptsfromeconomics,accounting, and a number of other areas.
j mt m t mt mt mt mt
Bloom's:
Remember AACS mt
B: ReflectiveThinking
Accessibility: KeyboardNavigation
3) Financialcapitaliscomposed oflong-
j
termplant andequipment, aswellasothertangible investments.
j mt mt j mt
Answer:
FALSE
Difficulty:1 Easy
mt m
t
Topic: Introduction to corporate finance j mt mt
Learning Objective: 01-
m
t
01Thefieldoffinanceintegratesconceptsfromeconomics,accounting, and a number of other areas.
j mt m t mt mt mt mt
Bloom's:
Remember AACS mt
B: ReflectiveThinking
Accessibility: KeyboardNavigation
4) Realcapitaliscomposed oflong-termplant and equipment. mt mt mt
2
Copyright © 2019 McGraw-Hill Education. All rights reserved. mt mt mt mt mt mt mt
No reproduction or distribution without the prior written consent of McGraw-Hill Education.
mt mt mt mt mt mt mt mt mt mt mt
,Answer:
TRUE
Difficulty:1Easy
mt
Topic: Introduction to corporate finance
j mt mt
Learning Objective: 01-
m
t
01Thefieldoffinanceintegratesconceptsfromeconomics,accounting, and a number of other areas.
j mt m t mt mt mt mt
Bloom's: Remember
3
Copyright © 2019 McGraw-Hill Education. All rights reserved.
mt mt mt mt mt mt mt
No reproduction or distribution without the prior written consent of McGraw-Hill Education.
mt mt mt mt mt mt mt mt mt mt mt
, AACSB: Reflective
Thinking Accessibility mt
: Keyboard Navigation mt
5) Duringthe1930s, financialpracticerevolvedaroundsuchtopicsasthepreservation ofcapital, m
mt j j m t
aintenanceofliquidity, thereorganizationoffinanciallytroubled corporations, andbankruptcy.
mt mt mt
Answer:
TRUE
Difficulty:1Easy
mt
Topic: Introduction to corporate finance j mt mt
Learning Objective: 01- m
t
01Thefieldoffinanceintegratesconceptsfromeconomics,accounting, and a number of other areas.
j mt m t mt mt mt mt
Bloom's:
Remember AACS mt
B: ReflectiveThinking
Accessibility: KeyboardNavigation
6) Inthe mid 1950s, financebeganto changeto amoreanalytical, decision-oriented approach.
mt mt mt mt mt j mt mt
Answer:
TRUE
Difficulty:1Easy
mt
Topic: Introduction to corporate finance j mt mt
Learning Objective: 01- m
t
01Thefieldoffinanceintegratesconceptsfromeconomics,accounting, and a number of other areas.
j mt m t mt mt mt mt
Bloom's:
Remember AACS mt
B: ReflectiveThinking
Accessibility: KeyboardNavigation
7) Recently, theemphasisoffinancialmanagement has beenonthe relationship betweenriskand
mt jmt j mt mt mt
return.
Answer:
TRUE
Difficulty:1Easy
mt
Topic: Introduction to corporate finance j mt mt
Learning Objective: 01- mt m t m t
01 The field of finance integrates concepts from economics, accounting, and a number of other are
mt mt mt mt mt mt mt mt mt mt mt mt mt mt mt
as.; 01-03 The relationship of risk to return is a central focus of finance. Bloom's: Understand
mt mt mt mt mt mt mt mt mt mt mt mt mt mt m t m t
AACSB: Analytical
Thinking Accessibility mt
: Keyboard Navigation mt
8) Thefirst NobelPrizesgiven to financeprofessorswerefortheircontributionstocapital s
mt j j mt mt
tructure theoryand portfolio theories of risk and return.
mt mt mt mt mt mt mt
4
Copyright © 2019 McGraw-Hill Education. All rights reserved. mt mt mt mt mt mt mt
No reproduction or distribution without the prior written consent of McGraw-Hill Education.
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