1A. Which of the following is not a type of financial cash flows? Interest expenses on commercial...

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Finance

1A. Which of the following is not a type of financial cashflows?
Interest expenses on commercial papers
Capital raised from a private firm’s initial public offering(IPO)
Larger bonus payments to the senior executives due to anelevated share price
Cash spent on share repurchases in the secondary stockmarkets
1B. What type of risk matters to an investor with awell-diversified portfolio? How is this type of risk measured?
Systematic risk; beta
Unique risk; standard deviation
Idiosyncratic risk; beta
Total risk; standard deviation

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3.5 Ratings (306 Votes)

1 Interest Expenses on commercial paper is not the part of the type of financial cash flow As commercial paper is the unsecured and debt instrument issued by the corporation mostly for financing the accounts payable and inventories or meeting the short term liabilities The maturity of the commercial paper range longer than the 270 days These commercial paper is generally issued at the discount fro the face value and reflects the prevailing market See Answer

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