Ask Basic Finance Expert

1.Which one of the following terms is defined as the mixture of a firm's debt and equity financing?

  • working capital management
  • cash management
  • cost analysis
  • capital budgeting
  • capital structure

2. The decision to issue additional shares of stock is an example of which one of the following?

  • working capital management
  • net working capital decision
  • capital budgeting
  • controller's duties
  • capital structure decision

3. Which of the following are advantages of the corporate form of business ownership?

  • limited liability for firm debt
  • double taxation
  • ability to raise capital
  • unlimited firm life

4. find the maturity value of the undiscounted promissory note that states that ABC borrowed 6,000 for a period of 11 months with the ordinary interest at 6%. the date of the note was dec 15, 2008. the maturity date was Nov 15.

5. The annual real estate tax on a duplex house is 20,913 and the owner sells the house after 8 months of the tax year. how much of the annual tax will the seller pay? the buyer pay?

6. Which one of the following parties has ultimate control of a corporation?

  • chairman of the Board
  • board of directors
  • chief executive officer
  • chief operating office
  • shareholders

7. Public offerings of debt and equity must be registered with which one of the following?

  • New York Board of Governors
  • Federal Reserve
  • NYSE Registration Office
  • Securities and Exchange Commission
  • Market Dealers Exchange

8. Which one of the following is a primary market transaction?

  • sale of currently outstanding stock by a dealer to an individual investor
  • sale of a new share of stock to an individual investor
  • stock ownership transfer from one shareholder to another shareholder
  • gift of stock from one shareholder to another shareholder
  • gift of stock by a shareholder to a family member

9. We read, "Sally hates spiders, my friend collects spiders." Which kind of error are we seeing here?

  • Fragments joined by a comma
  • A run-on
  • A comma splice
  • Unnecessary punctuation

10. Definition by negation is a good way to address people's

  • stupidity.
  • preferences.
  • preconceptions.
  • weaknesses.

11. Basic ways to define a word or term include all of the following except definition by

  • synonym.
  • class.
  • research.
  • negation.

12. All of the following are guidelines for making your writing more engaging except

  • use different ways to join ideas.
  • use a mix of short and long sentences.
  • avoid using commands, questions, or exclamation.
  • vary the beginnings of sentences.

13. All of these are ways to correct comma splices, run-ons, and fused sentences except

  • join two independent clauses with a coordinating conjunction.
  • separate the two clauses with a period.
  • join two independent clauses with a subordinating conjunction.
  • join the two clauses with a semicolon.

14. All of the following are true about dangling modifiers except

  • dangling modifiers are essentially indistinguishable from fragments.
  • they aren't logically related to the word or words they're supposed to modify.
  • they're generally the first words of a sentence.
  • dangling modifiers can't be corrected by moving words around.

15. Which word is a synonym for "timid"?

  • Shy
  • Outgoing
  • Extroverted
  • Social

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