Essentials of Corporate Finance (Mcgraw-hill/Irwin Series in Finance, Insurance, and Real Estate) 9th Edition Test Bank

Achieve top scores with Essentials of Corporate Finance (Mcgraw-hill/Irwin Series in Finance, Insurance, and Real Estate) 9th Edition Test Bank, a well-crafted guide filled with must-know information, examples, and revision techniques.

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Chapter 01 Test Bank-StaticStudent: ___________________________________________________________________________1. Jenna has been promoted and is now in charge of all external financing. In other words, she is in chargeof:A. capitalstructure management.B. asset allocation.C. risk management.D. capital budgeting.E. working capital management.2. Uptown Markets is financed with 45 percent debt and 55 percent equity. This mixture of debt and equityis referred to as the firm's:A. capital structure.B. capital budget.C. asset allocation.D. working capital.E. risk structure.3. Theos BBQ has $48,000 in current assets and $39,000 in current liabilities. Decisions related to theseaccounts are referred to as:A. capital structure decisions.B. capital budgeting decisions.C. working capital management.D. operating management.E. fixed account structure.4. Margie opened a used bookstore and is both the 100 percent owner and the store'smanager. Whichtype of business entity does Margie own if she is personally liable for all the store's debts?A. Sole proprietorshipB. Limited partnershipC. CorporationD. Joint stock companyE. General partnership5. Will and Bill both enjoy sunshine, water, and surfboards. Thus, the two friends decided to create abusiness together renting surfboards, paddle boats, and inflatable devices in California. Will and Bill willequally share in the decision making and in the business profits or losses. Which type of business did theycreate if they both have full personal liability for the firm's debts?A. Sole proprietorship

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