fin2603 exam-all.

Question 2 of 21 1.0 Points Which stakeholders have the first claim on assets when a organisation enters bankruptcy?  A. Creditors  B. Top management  C. Debtors  D. Shareholders Answer Key:A Question 3 of 21 1.0 Points The long-term financial goal of the firm may be achieved by ...  A. maximising revenue and minimising expenses.  B. minimising the cost of capital and maximising the internal rate of return (IRR).  C. maximising the assets relative to the liabilities.  D. accelerating cash inflows. Answer Key:B Question 4 of 21 1.0 Points What is the main function of a financial manager?  A. To prevent bad debts.  B. To ensure liquidity and solvency.  C. To increase the value of ordinary shares.  D. To earn returns greater than those of the competitors. Answer Key:C Part 3 of 5 - Section 2 10.0 Points Question 5 of 21 1.0 Points The statement of comprehensive income measures ... and it is also known as ...  A. revenue and gross profit; earnings-after-tax trial balance.  B. gross profit, earnings before income and tax (EBIT) and net profit;Statement of financial performance.  C. cost of goods sold and operating expenses; balance sheet.  D. sales, EBIT and earnings-after-tax; cash flow statement. Answer Key:B Question 6 of 21 1.0 Points B and C Limited extend credit terms of 43 days to its customers. Its credit collection would likely be considered poor if its average collection period was ...  A. 30 days.  B. 36 days.  C. 43 days.  D. 45 days. Answer Key:D