For Foundations of Financial Management 17th edition by Stanley Block,
Geoffrey Hirt & Bartley Danielsen | Fully Chaptered 2026
Wickyaplus
,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 finance emerged as a new field, much emphasis was placed on mergers and acquisitions.
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Answer: TRUE x
Difficulty: 1 Easy
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Topic: Introduction to corporate finance
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Learning Objective: 01-01 The field of finance integrates concepts from economics, accounting,
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and a number of other areas.
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Bloom's: Remember
xAACSB: Reflective Thinking x x
Accessibility: Keyboard Navigation x
2) Inflation is assumed to be a temporary problem that does not affect financial decisions.
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Answer: FALSE x
Difficulty: 1 Easy
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Topic: Financial management decisions x x
Learning Objective: 01-01 The field of finance integrates concepts from economics, accounting,
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and a number of other areas.
x x x x x x
Bloom's: Remember
xAACSB: Reflective Thinking x x
Accessibility: Keyboard Navigation x
3) Financial capital is composed of long-term plant and equipment, as well as other tangible
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investments.
x
Answer: FALSE x
Difficulty: 1 Easy
x x x
Topic: Introduction to corporate finance
x x x x x
Learning Objective: 01-01 The field of finance integrates concepts from economics, accounting,
x x x x x x x x x x
and a number of other areas.
x x x x x x
Bloom's: Remember
xAACSB: Reflective Thinking x x
Accessibility: Keyboard Navigation x
4) Real capital is composed of long-term plant and equipment.
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Answer: TRUE x
Difficulty: 1 Easy
x x x
Topic: Introduction to corporate finance
x x x x x
Learning Objective: 01-01 The field of finance integrates concepts from economics, accounting,
x x x x x x x x x x
and a number of other areas.
x x x x x x
Bloom's: Remember
1
,AACSB: Reflective x Thinking
x
Accessibility:
x x x Keyboard
Navigation
x
5) During the 1930s, financial practice revolved around such topics as the preservation of capital,
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maintenance of liquidity, the reorganization of financially troubled corporations, and bankruptcy.
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Answer: TRUE x
Difficulty: 1 Easy
x x x
Topic: Introduction to corporate finance
x x x x x
Learning Objective: 01-01 The field of finance integrates concepts from economics, accounting,
x x x x x x x x x x
and a number of other areas.
x x x x x x
Bloom's: Remember
xAACSB: Reflective Thinking x x
Accessibility: Keyboard Navigation x
6) In the mid 1950s, finance began to change to a more analytical, decision-oriented approach.
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Answer: TRUE x
Difficulty: 1 Easy
x x x
Topic: Introduction to corporate finance
x x x x x
Learning Objective: 01-01 The field of finance integrates concepts from economics, accounting,
x x x x x x x x x x
and a number of other areas.
x x x x x x
Bloom's: Remember
xAACSB: Reflective Thinking x x
Accessibility: Keyboard Navigation x
7) Recently, the emphasis of financial management has been on the relationship between risk and
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return.
x
Answer: TRUE x
Difficulty: 1 Easy
x x x
Topic: Introduction to corporate finance
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Learning Objective: 01-01 The field of finance integrates concepts from economics, accounting,
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and a number of other areas.; 01-03 The relationship of risk to return is a central focus of finance.
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Bloom's: Understand
x x
AACSB: Analytical Thinking x x
Accessibility:
x Keyboard x x
Navigation
x
8) The first Nobel Prizes given to finance professors were for their contributions to capital
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structure theory and portfolio theories of risk and return.
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Answer: TRUE x
Difficulty: 1 Easy
x x x
Topic: Introduction to corporate finance
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Learning Objective: 01-01 The field of finance integrates concepts from economics, accounting,
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2
, and a number of other areas.
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Bloom's: Remember
3