Question 1

Europe is witnessing a long-term trend away from hostile takeovers

Accepted Answer

A) True 
 B)False  False

Question 2

A takeover bid is always challenged by incumbent management

Accepted Answer

A) True 
 B)False  False

Question 3

Depreciation charges are subjective numbers

Accepted Answer

A) True 
 B)False  True

Question 4

All governments regulate the financial markets that fall under their jurisdiction

Accepted Answer

A) True 
 B)False

Question 5

In the event of insolvency, unsecured creditors are paid before shareholders

Accepted Answer

A) True 
 B)False

Question 6

Financial markets exert little influence on the firm's strategy

Accepted Answer

A) True 
 B)False

Question 7

The risk/return relationship may be non-linear

Accepted Answer

A) True 
 B)False

Question 8

In most financial markets, the proportion of equity held by institutions has been increasing

Accepted Answer

A) True 
 B)False

Question 9

Dividends are a legal liability of the firm

Accepted Answer

A) True 
 B)False

Question 10

Senior management do not need to understand of valuation models

Accepted Answer

A) True 
 B)False

Question 11

Firms never compete with governments

Accepted Answer

A) True 
 B)False

Question 12

Share repurchases are often tax-efficient for investors

Accepted Answer

A) True 
 B)False

Question 13

Auditors are always objective

Accepted Answer

A) True 
 B)False

Question 14

Derivatives can be a sound means to control risk

Accepted Answer

A) True 
 B)False

Question 15

Many countries are trying to improve the liquidity and transparency of their financial markets

Accepted Answer

A) True 
 B)False

Question 16

Market value added is the difference between market capitalization and the amount of debt

Accepted Answer

A) True 
 B)False

Question 17

Management can create economic value without creating a return for shareholders

Accepted Answer

A) True 
 B)False

Question 18

German banks are not permitted to own equities

Accepted Answer

A) True 
 B)False

Question 19

Ratings agencies are paid by the issuers of the instruments they are rating

Accepted Answer

A) True 
 B)False

Question 20

Regulatory frameworks are very similar in different countries

Accepted Answer

A) True 
 B)False

Europe is witnessing a long-term trend away from hostile takeovers

A takeover bid is always challenged by incumbent management

Depreciation charges are subjective numbers

All governments regulate the financial markets that fall under their jurisdiction

In the event of insolvency, unsecured creditors are paid before shareholders

Financial markets exert little influence on the firm's strategy

The risk/return relationship may be non-linear

In most financial markets, the proportion of equity held by institutions has been increasing

Dividends are a legal liability of the firm

Senior management do not need to understand of valuation models

Firms never compete with governments

Share repurchases are often tax-efficient for investors

Auditors are always objective

Derivatives can be a sound means to control risk

Many countries are trying to improve the liquidity and transparency of their financial markets

Market value added is the difference between market capitalization and the amount of debt

Management can create economic value without creating a return for shareholders

German banks are not permitted to own equities

Ratings agencies are paid by the issuers of the instruments they are rating

Regulatory frameworks are very similar in different countries

Managing Strategically

Strategic Management Fundamentals

External Analysis: The Business Environment

Internal Analysis: Managing Capabilities, Costs and Knowledge

Creating Future Direction

Business-Level Strategy

Corporate-Level Strategy

Managing Innovation and the Dynamic Scope of the ﬁrm

Leading Organizational Change

Designing Organizational Architecture

Measuring Organizational Performance

Corporate Governance and Social Responsibility

Filters

Exam 4: External Analysis: The ﬁnancial Environment

Europe is witnessing a long-term trend away from hostile takeovers

A takeover bid is always challenged by incumbent management

Depreciation charges are subjective numbers

All governments regulate the financial markets that fall under their jurisdiction

In the event of insolvency, unsecured creditors are paid before shareholders

Financial markets exert little influence on the firm's strategy

The risk/return relationship may be non-linear

In most financial markets, the proportion of equity held by institutions has been increasing

Dividends are a legal liability of the firm

Senior management do not need to understand of valuation models

Firms never compete with governments

Share repurchases are often tax-efficient for investors

Auditors are always objective

Derivatives can be a sound means to control risk

Many countries are trying to improve the liquidity and transparency of their financial markets

Market value added is the difference between market capitalization and the amount of debt

Management can create economic value without creating a return for shareholders

German banks are not permitted to own equities

Ratings agencies are paid by the issuers of the instruments they are rating

Regulatory frameworks are very similar in different countries

Managing Strategically

Strategic Management Fundamentals

External Analysis: The Business Environment

Internal Analysis: Managing Capabilities, Costs and Knowledge

Creating Future Direction

Business-Level Strategy

Corporate-Level Strategy

Managing Innovation and the Dynamic Scope of the ﬁrm

Leading Organizational Change

Designing Organizational Architecture

Measuring Organizational Performance

Corporate Governance and Social Responsibility

Filters