In agency theory, the owners of the business are referred to as __________, and the managers are referred to as __________ . A. bondholders, principals B. stockholders, bondholders C. agents, principals D. principals, agents ________ is the typical title of the corporate executive charged with determining the best repayment structure for borrowed funds to ensure timely repayment and sufficient cash for daily operations. A. Chief Executive Officer (CEO. B. Chief Financial Officer (CFO. C. Chairman D The means by which a company is financed refers to the firm's __________ . A. capital budgeting B. capital structure C. accounts receivable management D. working The sale of "new" securities, where the financial asset is being traded for the very first time, is said to take place in the __________ market. A. primary B. money C. secondary D Options are bought and sold in ________ markets. A. equity B. debt C. derivatives D. foreign Which of the following best identifies the four main areas of finance? A. exchange rate management, investments, financial institutions and markets, international B. corporate, investments, capital structure, international C. corporate, investments, financial institutions and markets, international D. corporate Bonds are bought and sold in __________ markets. A. equity B. debt C. derivatives D. foreign Stocks are bought and sold in __________ markets. A. equity B. debt C. derivatives D. __________ are the forums where buyers and sellers of financial assets and commodities meet. A. Housing markets B. Federal Reserve banks C. Financial markets D. Automotive Sale of new common stock in the primary market is regulated by the ________, and sale of used common on the secondary market is regulated by the ________. A. SEC, FDIC B. SEC, SEC C. FDIC, Federal Reserve D. Federal "Concern with the multinational elements of financial activities" best describes which of the four main areas of finance? A. investments B. international finance C. corporate finance D. ________ is NOT a main category of financial management. A. Capital budgeting B. Capital structure C. Accounts receivable management D Managing the firm's short-term financing activities is known a(n. __________ . A. capital budgeting B. capital structure C. accounts receivable management D working capital management Of the following, which group would be considered EXTERNAL PLAYERS of the firm? A. the loan officer at the firm's commercial bank B. the shop foreman C. the human resources manager Which of the following is NOT an activity of a financial institution or market? A. bringing together buyers and sellers of financial assets B. providing a market for the transaction of financial assets C. providing information to buyers and/or sellers of financial assets D. All are activities of financial institutions. __________ is the name given to the processes surrounding recognition of the principal-agent problem and ways to align agents with the interests of the principals. A. Principal theory B. Interested party theory C. Agency theory Of the following, which is the most recent example of legislation passed by the federal government to deal with a major economic or highly visible corporate event? A. The Federal Deposit Insurance Corporation Improvement Act B. The Securities and Exchange Act C. The Sarbanes-Oxley Act D The problem of motivating one party to act in the best interest of another party is known as the __________ . A. leadership directive B. management priority C. principal-agent problem D Of the following activities, which is NOT likely to be an interaction between the financial manager and the marketing manager? A. costing of products B. setting credit policies C. determining that there are a sufficient number of trained workers to develop the product D. setting Currencies are bought and sold in ________ markets. A. equity B. debt C. derivatives D. Foreign exchange market  |
