1. Per the information in Chapter One, _________________ is(are)important skill(s) to develop
for a career in the finance area.
- critical thinking.
- communication.
- collaboration.
- financial computing skills.
- A and B and C.
- A and B and C and D.
2 The overall goal of a corporation can be summarized as
- maximizing shareholder wealth.
- maximizing the firm’s “Net Income.”
- maximizing the firm’s “Earnings Per Share” (EPS).
- maximizing the number of common stock shares outstanding.
3. The “stakeholders” of a toy manufacturing corporationheadquartered in Boston and doing business
domestically within the U.S. may include the followingEXCEPT
- the firm’s shareholders.
- vendors of the firm’s packaging materials.
C. members of the Board of Directorsof the Bank of England.
D. residents of Boston, the communityin which the firm’s corporate headquarters is located.
4. The system of rules, processes, and laws that is used todirect and control a corporation is
known as
- the “agency” issue.
- corporate governance.
- the Board of Directors.
- the prospectus.
5. Corporate ethics programs seek to
- reduce litigation and judgment costs.
- maintain a positive corporate image.
- build shareholder confidence.
- gain the loyalty and respect of stakeholders.
- A and B and C and D.
- A and B and D.