Which one of the following best illustrates that the management of a firm is adhering to the goal of financial management?
Multiple Choice
An increase in the market value per share
Correct
A decrease in the net working capital
An increase in the amount of the quarterly dividend
An increase in the number of shares outstanding
A decrease in the per unit production costs
Answer
An increase in the market value per share
Which of the following parties are considered stakeholders of a firm?
Multiple Choice
Government and common stockholders
Common stockholders
Long-term creditors and common stockholders
Employees and the government
Correct
Long-term creditors
Answer
Employees and the government
The decision to issue additional shares of stock is an example of:
Multiple Choice
a net working capital decision.
a capital structure decision.
Correct
a controller's duties.
working capital management.
capital budgeting.
Answer
a capital structure decision.
Multiple Choice
An increase in the market value per share
Correct
A decrease in the net working capital
An increase in the amount of the quarterly dividend
An increase in the number of shares outstanding
A decrease in the per unit production costs
Answer
An increase in the market value per share
Which of the following parties are considered stakeholders of a firm?
Multiple Choice
Government and common stockholders
Common stockholders
Long-term creditors and common stockholders
Employees and the government
Correct
Long-term creditors
Answer
Employees and the government
The decision to issue additional shares of stock is an example of:
Multiple Choice
a net working capital decision.
a capital structure decision.
Correct
a controller's duties.
working capital management.
capital budgeting.
Answer
a capital structure decision.
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