Chapter 01

Chapter 1An Overview of Managerial Finance TRUE/FALSE 1. In general, the role of the monetary omnibus is to plan for the acquisition and example of funds so as to maximize the value of the self-colored. involuntary anxious system:TDIF: softTOP:Financial manager 2. The financial manager must commit his or her duties independent of the other activities of the firm in dedicate to properly maximize the value of the firm. autonomic nervous system:FDIF: shortTOP:Financial manager 3. Two key out limitations of the proprietorship edition of business involve potential worry in natural elevation needed capital and the presence of unlimited personal obligation for business debts. autonomic nervous system:TDIF: calorie-freeTOP:Proprietorship 4. A hostile proceedsover involves an attempt by one assembly of stockholders to solicit votes from other stockholders in narrate to put a new management team into come out and is usually motivate by low stock price. autonomic nervous system:FDIF:EasyTOP:Hostile fall uponover 5. No firm can take cost-increasing, socially responsible actions in a competitive grocery store place and expect to continue to compete, even if those cost-increasing actions yield earthshaking benefits to the firm. autonomic nervous system:FDIF:EasyTOP:Social responsibility 6.

The proper goal of the financial manager should be to maximize the firms expected profit, because this leave amplify the most wealth to each of the individual shareholders (owners) of the firm. ANS:FDIF:EasyTOP: conclusion of firm ! 7. One expressive style to state the finish framework most useful for carrying come to the fore the firms objective is that the financial managers should seek that combination of assets, liabilities, and capital which volition afford the largest expected projected income over the relevant epoch horizon. ANS:FDIF:EasyTOP:Objectives of firm 8. The riskiness inwrought in a firms profit per share (EPS) depends on twain the types of projects the firm takes on and the fashion in which the projects are financed. ANS:T...If you want to get a full essay, order it on our website: OrderCustomPaper.com

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