Exam 1: Introduction to Financial Management

When determining a form of business organization, all of the following are considered EXCEPT

An angel investor differs from a venture capitalist because of the

This subarea of finance involves methods and techniques to make appropriate decisions about what kinds of securities to own, which firms' securities to buy, and how to be paid back in the form that the investor wishes.

This subarea of finance helps facilitate the capital flows between investors and companies.

The board of directors

Which of the following is NOT a function of the board of directors?

Which statement is incorrect regarding hybrid organizations?

The practice generally known as double taxation is due to

This subarea of finance looks at firm decisions in acquiring and utilizing cash received from investors or from retained earnings.

Which organization(s) is/are characterized by single taxation and limited liability to all owners?

This type of business organization is entirely legally independent from its owners.

Financial management involves decisions about which of the following?

Agency problems exist in which forms of business ownership?

From the perspective of ownership risk, the best form of business organization is the

Which of the following managers would NOT use finance?

Restricted stock is

Nonwage compensation that might actually enhance owner value, in that such items may boost managers' productivity.

Which statement(s) should be considered to maximize owner's equity value?

These individuals help firms access capital markets and advise managers about how to interact with those capital markets.

An employee stock option plan is