Have an account?
Skip to Content
Introducing new Paper mode
No student devices needed. Know more
20 questions
Show Answers
See Preview
- Multiple ChoicePlease save your changes before editing any questions.
Finance is the business function that involves managing
information
money
marketing
production
- Multiple ChoicePlease save your changes before editing any questions.
The goals of the finance function are to ensure profitability and to
advertise products
manufacture raw materials
give out information
reduce risks
- Multiple ChoicePlease save your changes before editing any questions.
Accounting is distinct from finance because its main focus is on
recordkeeping activities
money management decisions
administration of assets
acquisition of funds
- Multiple ChoicePlease save your changes before editing any questions.
The administration of assets refers to decisions about
accounting
spending
investments
financing
- Multiple ChoicePlease save your changes before editing any questions.
Decisions about financing refer to the
accounts receivable
acquisition of funds
administration of assets
accounting department
- Multiple ChoicePlease save your changes before editing any questions.
The finance function ensures that the company’s financial goals are
acceptable to the marketing department
related to product development
easy to accomplish
in line with organizational priorities
- Multiple ChoicePlease save your changes before editing any questions.
How does the finance function relate to company spending?
It plans and controls spending
It produces reports about spending
It spends on investments only
It does not relate to spending
- Multiple ChoicePlease save your changes before editing any questions.
Money the business owes is known as
equity
assets
accounts payable
accounts receivable
- Multiple ChoicePlease save your changes before editing any questions.
Money owed to the business is known as
equity
assets
accounts payable
accounts receivable
- Multiple ChoicePlease save your changes before editing any questions.
To keep communication flowing with other departments, the finance function depends on
accounts receivable
information systems
marketing
production
- Multiple ChoicePlease save your changes before editing any questions.
The finance function is usually responsible for which of the following processes:
Budgeting
Manufacturing
Operations
Research
- Multiple ChoicePlease save your changes before editing any questions.
The finance function would definitely be involved in a decision regarding
public relations and publicity
personal selling
new business projects and strategies
hiring
- Multiple ChoicePlease save your changes before editing any questions.
Which of the following is a capital investment decision:
How to manage cash flow
How to handle accounts payable
How to finance investments
How to manage inventory
- Multiple ChoicePlease save your changes before editing any questions.
A company’s current balance of assets and liabilities falls under the focus of
return on capital
working capital management
capital investment decisions
the cash conversion cycle
- Multiple ChoicePlease save your changes before editing any questions.
Determining which projects a business should invest in is known as
return on capital
the cash conversion cycle
capital structuring
capital budgeting
- Multiple ChoicePlease save your changes before editing any questions.
Assets a company already owns and can use to finance a new venture are called
equity
dividends
return on capital
accounts payable
- Multiple ChoicePlease save your changes before editing any questions.
Which of the following is a key component of managing working capital:
Financing
Capital budgeting
Cash conversion cycle
Capital structure
- Multiple ChoicePlease save your changes before editing any questions.
The cash conversion cycle should be
at equilibrium
as short as possible
as long as possible
on an upward trend
- Multiple ChoicePlease save your changes before editing any questions.
Which of the following is a measure of how well a business generates cash flow:
Accounts receivable
Capital structure
Accounts payable
Return on capital
- Multiple ChoicePlease save your changes before editing any questions.
When return on capital is positive, the company is
growing in value
losing value
low on cash
paying out dividends