Home Page Economics Finance Corporate Finance Intro to Financial Management: Questions and Answers Essay Example

Intro to Financial Management: Questions and Answers Essay Example

Name: Intro to Financial Management: Questions and Answers Essay Example
Rating: 4.7 (348 reviews)

Available Only on StudyHippo

Topics:

Corporate Finance, Investment, Management

View Entire Sample

Text preview

A corporation is an independent legal entity that can be owned by one or more individuals or entities.
If Paul's Cabinets, a business solely owned by Paul, cannot pay its debts due to a customer defaulting on payment, Paul personally bears the entire debt of Paul's Cabinets.
A sole proprietorship is a business owned by one person.
The goal of financial management in a sole proprietorship is to maximize the market value of its equity.
Capital structure refers to the combination of debt and equity utilized by a firm for financing its
...

activities.
The company's present assets and liabilities are known as working capital.
Tax management should be handled by the controller rather than the treasurer.
The process of managing a firm's long-term investments is referred to as capital budgeting.
Evaluating potential risks and rewards associated with investing in financial assets, such as domestic stocks, falls within the investments financial area.
A stakeholder includes anyone other than stockholders or creditors who may have a claim on a firm's cash flows..

View entire sample

Join StudyHippo to see entire essay