TEST BANK FOR FUNDAMENTALS OF
CORPORATE FINANCE, 13TH EDITION BY
STEPHEN ROSS, RANDOLPH WESTERFIELD,
BRADFORD JORDAN | 2024 COMPLETE
QUESTIONS WITH CORRECT SOLUTIONS
100% ACCURATE
1
,MULTIPLE CHOICE - Choose the one alternative that best completes the statement or
answers the question.
1) Generally, among those who report directly to the are the treasurer and the
controller of a corporation.
A) board of directors
B) chairperson of the board
C) chief executive officer
D) president
E) chief financial officer
2) A typical chain of command in a corporation is described by which one of the following
statements?
A) The information systems manager reports to the treasurer.
B) The credit manager reports to the treasurer.
C) The controller reports to the chief executive officer.
D) The tax manager reports to the treasurer.
E) The capital expenditures manager reports to the controller.
2
,3) Answering which one of the following questions involves making a capital budgeting
decision?
A) How much debt should the firm borrow from a particular lender?
B) Should the firm build a new production facility?
C) Should the firm issue new equity to pay for its growth goals?
D) How much inventory should the firm keep on hand?
3
, E) How Bmuch Bcredit Bshould Bthe Bfirm Bextend Bto Ba Bparticular Bcustomer?
4) Which Bone Bof Bthe Bfollowing Bstatements Bis Baccurate?
A) Net Bworking Bcapital Bequals Bcurrent Bassets Bplus Bcurrent Bliabilities.
B) Current Bliabilities Bare Bdebts Bthat Bmust Bbe Brepaid Bin B18 Bmonths Bor Bless.
C) Current Bassets Bare Bassets Bwith Bshort Blives, Bsuch Bas Baccounts Breceivable.
D) Long-term Bdebt Bis Bdefined Bas Ba Bresidual Bclaim Bon Ba Bfirm’s Bassets.
E) Tangible Bassets Bare Bfixed Bassets Bsuch Bas Bpatents.
5) Among Bthe Btypical Bresponsibilities Bof Bthe Bcorporate Bcontroller Bis:
A) capital Bexpenditures Bmanagement.
B) cash Bmanagement.
C) tax Breporting.
D) financial Bplanning.
E) credit Bmanagement.
6) B is Btypically Bthe Bresponsibility Bof Bthe Bcorporate Btreasurer.
A) Financial Bplanning
B) Cost Baccounting
C) Tax Breporting
D) Information Bsystems
E) Financial Baccounting
4
CORPORATE FINANCE, 13TH EDITION BY
STEPHEN ROSS, RANDOLPH WESTERFIELD,
BRADFORD JORDAN | 2024 COMPLETE
QUESTIONS WITH CORRECT SOLUTIONS
100% ACCURATE
1
,MULTIPLE CHOICE - Choose the one alternative that best completes the statement or
answers the question.
1) Generally, among those who report directly to the are the treasurer and the
controller of a corporation.
A) board of directors
B) chairperson of the board
C) chief executive officer
D) president
E) chief financial officer
2) A typical chain of command in a corporation is described by which one of the following
statements?
A) The information systems manager reports to the treasurer.
B) The credit manager reports to the treasurer.
C) The controller reports to the chief executive officer.
D) The tax manager reports to the treasurer.
E) The capital expenditures manager reports to the controller.
2
,3) Answering which one of the following questions involves making a capital budgeting
decision?
A) How much debt should the firm borrow from a particular lender?
B) Should the firm build a new production facility?
C) Should the firm issue new equity to pay for its growth goals?
D) How much inventory should the firm keep on hand?
3
, E) How Bmuch Bcredit Bshould Bthe Bfirm Bextend Bto Ba Bparticular Bcustomer?
4) Which Bone Bof Bthe Bfollowing Bstatements Bis Baccurate?
A) Net Bworking Bcapital Bequals Bcurrent Bassets Bplus Bcurrent Bliabilities.
B) Current Bliabilities Bare Bdebts Bthat Bmust Bbe Brepaid Bin B18 Bmonths Bor Bless.
C) Current Bassets Bare Bassets Bwith Bshort Blives, Bsuch Bas Baccounts Breceivable.
D) Long-term Bdebt Bis Bdefined Bas Ba Bresidual Bclaim Bon Ba Bfirm’s Bassets.
E) Tangible Bassets Bare Bfixed Bassets Bsuch Bas Bpatents.
5) Among Bthe Btypical Bresponsibilities Bof Bthe Bcorporate Bcontroller Bis:
A) capital Bexpenditures Bmanagement.
B) cash Bmanagement.
C) tax Breporting.
D) financial Bplanning.
E) credit Bmanagement.
6) B is Btypically Bthe Bresponsibility Bof Bthe Bcorporate Btreasurer.
A) Financial Bplanning
B) Cost Baccounting
C) Tax Breporting
D) Information Bsystems
E) Financial Baccounting
4
