TEST BANK
Corporate Finance 13th Edition
By Stephen Ross, Randolph Westerfield,
Chapters 1 - 21, Complete
Versionxc 1
1
,Chapterxc1
Studentxcname:_xc
MULTIPLExcCHOICExc-
xcChoosexcthexconexcalternativexcthatxcbestxccompletesxcthexcstatementxcorxcanswersxcthexcquestion.
1) Generally,xcamongxcthosexcwhoxcreportxcdirectlyxctoxcthe
arexcthexctreasurerxcandxcthexccontrollerxcofxcaxccorporation.
A) boardxcofxcdirectors
B) chairpersonxcofxcthexcboard
C) chiefxcexecutivexcofficer
D) president
E) chiefxcfinancialxcofficer
2) Axctypicalxcchainxcofxccommandxcinxcaxccorporationxcisxcdescribedxcbyxcwhichxconexcofxcthexcfo
llowingxcstatements?
A) Thexcinformationxcsystemsxcmanagerxcreportsxctoxcthexctreasurer.
B) Thexccreditxcmanagerxcreportsxctoxcthexctreasurer.
C) Thexccontrollerxcreportsxctoxcthexcchiefxcexecutivexcofficer.
D) Thexctaxxcmanagerxcreportsxctoxcthexctreasurer.
E) Thexccapitalxcexpendituresxcmanagerxcreportsxctoxcthexccontroller.
3) Answeringxcwhichxconexcofxcthexcfollowingxcquestionsxcinvolvesxcmakingxcaxccapitalxcbud
getingxcdecision?
Versionxc 2
1
, A) Howxcmuchxcdebtxcshouldxcthexcfirmxcborrowxcfromxcaxcparticularxclender?
B) Shouldxcthexcfirmxcbuildxcaxcnewxcproductionxcfacility?
C) Shouldxcthexcfirmxcissuexcnewxcequityxctoxcpayxcforxcitsxcgrowthxcgoals?
D) Howxcmuchxcinventoryxcshouldxcthexcfirmxckeepxconxchand?
E) Howxcmuchxccreditxcshouldxcthexcfirmxcextendxctoxcaxcparticularxccustomer?
4) Whichxconexcofxcthexcfollowingxcstatementsxcisxcaccurate?
A) Netxcworkingxccapitalxcequalsxccurrentxcassetsxcplusxccurrentxcliabilities.
B) Currentxcliabilitiesxcarexcdebtsxcthatxcmustxcbexcrepaidxcinxc18xcmonthsxcorxcless.
C) Currentxcassetsxcarexcassetsxcwithxcshortxclives,xcsuchxcasxcaccountsxcreceivable.
D) Long-termxcdebtxcisxcdefinedxcasxcaxcresidualxcclaimxconxcaxcfirm’sxcassets.
E) Tangiblexcassetsxcarexcfixedxcassetsxcsuchxcasxcpatents.
5) Amongxcthexctypicalxcresponsibilitiesxcofxcthexccorporatexccontrollerxcis:
A) capitalxcexpendituresxcmanagement.
B) cashxcmanagement.
C) taxxcreporting.
D) financialxcplanning.
E) creditxcmanagement.
6) xc isxctypicallyxcthexcresponsibilityxcofxcthexccorporatexctreasurer.
A) Financialxcplanning
B) Costxcaccounting
C) Taxxcreporting
D) Informationxcsystems
E) Financialxcaccounting
7) Axcfirm’s define(s)xcitsxccapitalxcstructure.
Versionxc 3
1
, A) mixturexcofxcvariousxctypesxcofxcproductionxcequipment
B) investmentxcselectionsxcforxcitsxcexcessxccashxcreserves
C) combinationxcofxccashxcandxccashxcequivalents
D) combinationxcofxcaccountsxcappearingxconxcthexcleftxcsidexcofxcitsxcbalancexcsheet
E) proportionsxcofxcfinancingxcfromxcdebtxcandxcequity
8) Thexcfocusxcofxcshort-termxcfinancexcisxcon:
A) thexctimingxcofxccashxcflows.
B) acquiringxcandxcsellingxcfixedxcassets.
C) financingxclong-termxcprojects.
D) capitalxcbudgeting.
E) issuingxcadditionalxcsharesxcofxccommonxcstock.
9) Netxcworkingxccapitalxcincludes:
A) copyrights.
B) manufacturingxcequipment.
C) commonxcstock.
D) long-termxcdebt.
E) inventory.
10) xc isxcdefinedxcasxcplanningxcandxcmanagingxcaxcfirm’sxclong-termxcassets.
A) Workingxccapitalxcmanagement
B) Cashxcmanagement
C) Costxcaccountingxcmanagement
D) Capitalxcbudgeting
E) Capitalxcstructurexcmanagement
11) Anxcamountxcthexcfirmsxcowes,xcwhichxcitxcmustxcrepayxcwithinxctwelvexcmonths,xcisxccalledxca(n):
Versionxc 4
1
Corporate Finance 13th Edition
By Stephen Ross, Randolph Westerfield,
Chapters 1 - 21, Complete
Versionxc 1
1
,Chapterxc1
Studentxcname:_xc
MULTIPLExcCHOICExc-
xcChoosexcthexconexcalternativexcthatxcbestxccompletesxcthexcstatementxcorxcanswersxcthexcquestion.
1) Generally,xcamongxcthosexcwhoxcreportxcdirectlyxctoxcthe
arexcthexctreasurerxcandxcthexccontrollerxcofxcaxccorporation.
A) boardxcofxcdirectors
B) chairpersonxcofxcthexcboard
C) chiefxcexecutivexcofficer
D) president
E) chiefxcfinancialxcofficer
2) Axctypicalxcchainxcofxccommandxcinxcaxccorporationxcisxcdescribedxcbyxcwhichxconexcofxcthexcfo
llowingxcstatements?
A) Thexcinformationxcsystemsxcmanagerxcreportsxctoxcthexctreasurer.
B) Thexccreditxcmanagerxcreportsxctoxcthexctreasurer.
C) Thexccontrollerxcreportsxctoxcthexcchiefxcexecutivexcofficer.
D) Thexctaxxcmanagerxcreportsxctoxcthexctreasurer.
E) Thexccapitalxcexpendituresxcmanagerxcreportsxctoxcthexccontroller.
3) Answeringxcwhichxconexcofxcthexcfollowingxcquestionsxcinvolvesxcmakingxcaxccapitalxcbud
getingxcdecision?
Versionxc 2
1
, A) Howxcmuchxcdebtxcshouldxcthexcfirmxcborrowxcfromxcaxcparticularxclender?
B) Shouldxcthexcfirmxcbuildxcaxcnewxcproductionxcfacility?
C) Shouldxcthexcfirmxcissuexcnewxcequityxctoxcpayxcforxcitsxcgrowthxcgoals?
D) Howxcmuchxcinventoryxcshouldxcthexcfirmxckeepxconxchand?
E) Howxcmuchxccreditxcshouldxcthexcfirmxcextendxctoxcaxcparticularxccustomer?
4) Whichxconexcofxcthexcfollowingxcstatementsxcisxcaccurate?
A) Netxcworkingxccapitalxcequalsxccurrentxcassetsxcplusxccurrentxcliabilities.
B) Currentxcliabilitiesxcarexcdebtsxcthatxcmustxcbexcrepaidxcinxc18xcmonthsxcorxcless.
C) Currentxcassetsxcarexcassetsxcwithxcshortxclives,xcsuchxcasxcaccountsxcreceivable.
D) Long-termxcdebtxcisxcdefinedxcasxcaxcresidualxcclaimxconxcaxcfirm’sxcassets.
E) Tangiblexcassetsxcarexcfixedxcassetsxcsuchxcasxcpatents.
5) Amongxcthexctypicalxcresponsibilitiesxcofxcthexccorporatexccontrollerxcis:
A) capitalxcexpendituresxcmanagement.
B) cashxcmanagement.
C) taxxcreporting.
D) financialxcplanning.
E) creditxcmanagement.
6) xc isxctypicallyxcthexcresponsibilityxcofxcthexccorporatexctreasurer.
A) Financialxcplanning
B) Costxcaccounting
C) Taxxcreporting
D) Informationxcsystems
E) Financialxcaccounting
7) Axcfirm’s define(s)xcitsxccapitalxcstructure.
Versionxc 3
1
, A) mixturexcofxcvariousxctypesxcofxcproductionxcequipment
B) investmentxcselectionsxcforxcitsxcexcessxccashxcreserves
C) combinationxcofxccashxcandxccashxcequivalents
D) combinationxcofxcaccountsxcappearingxconxcthexcleftxcsidexcofxcitsxcbalancexcsheet
E) proportionsxcofxcfinancingxcfromxcdebtxcandxcequity
8) Thexcfocusxcofxcshort-termxcfinancexcisxcon:
A) thexctimingxcofxccashxcflows.
B) acquiringxcandxcsellingxcfixedxcassets.
C) financingxclong-termxcprojects.
D) capitalxcbudgeting.
E) issuingxcadditionalxcsharesxcofxccommonxcstock.
9) Netxcworkingxccapitalxcincludes:
A) copyrights.
B) manufacturingxcequipment.
C) commonxcstock.
D) long-termxcdebt.
E) inventory.
10) xc isxcdefinedxcasxcplanningxcandxcmanagingxcaxcfirm’sxclong-termxcassets.
A) Workingxccapitalxcmanagement
B) Cashxcmanagement
C) Costxcaccountingxcmanagement
D) Capitalxcbudgeting
E) Capitalxcstructurexcmanagement
11) Anxcamountxcthexcfirmsxcowes,xcwhichxcitxcmustxcrepayxcwithinxctwelvexcmonths,xcisxccalledxca(n):
Versionxc 4
1
