FiltersDone

Question type

Essay

Multiple Choice

Short Answer

True False

Matching

Exam 18: Finance

Show Answer

Share

---

All types

Filters

Study FlashcardsPractice ExamLearn

Question 61

True/False

Review LaterAdd Note

Review Later

The three main types of unsecured short-term loans are trade credit, bank loans and commercial paper.

Correct Answer

verified

Show Answer

Question 62

Multiple Choice

Review LaterAdd Note

Review Later

Shameika Olson owns a bookstore and has arranged a business loan with the bank where she has her business account. The terms of the loan allow her to borrow up to $12,000 within the next year. She must pay interest only on the unpaid loan balance. What has Olson arranged?

A) line of credit
B) secured loan
C) collateralized loan
D) mortgage loan

Correct Answer

verified

Show Answer

Question 63

Multiple Choice

Review LaterAdd Note

Linda's Kitchen is a bakery. Flour, sugar, eggs, milk, and chocolate would be included in which type of expenses?

The key activities of the financial manager are financial planning, investment, and financing.

Which of the following are securities that represent an ownership interest in a corporation and give the holders voting rights?

Equity capital is made up of a combination of share ownership and debt financing.

Accounts receivable or inventory usually secures short-term secured loans.

Which of the following is NOT one of the three important forms of long-term debt?

A financial plan enables the company to estimate the amount and timing of its investment and financing needs.

A secured loan requires that the borrower pledge specific assets to secure the loan. These assets are known as which of the following?

Which of the following top management positions is more highly visible and active in company management than ever, being instrumental in developing and implementing the company's strategic vision?

In finance, what is the opportunity for profit?

What are long-term forecasts that cover two to ten years and take a broader view of the company's financial activities?

Which of the following terms represents the stated interest rate of a bond?

In what industry do companies pay little or no dividends to shareholders in order to finance growth?

Another term for the net profit of a company is retained earnings.

In finance, the opportunity for a profit is called return.

What is a life insurance policy paid for by the business and naming the company as beneficiary if the employee dies?

What is the major drawback to debt financing?

Commercial paper is best described by which of the following?