1. Basic Concepts Aa Aa Match the terms relating to the basic terminology and co

Question

1. Basic Concepts Aa Aa Match the terms relating to the basic terminology and concepts of corporate finance on the left with the descriptions of the terms on the right. Read each description carefully and type the letter of the description in the Answer column next to the correct term. These are not necessarily complete definitions, but there is only one possible answer for each term Term Answer Description This attribute of the corporate form of organization limits an owner's potential losses to the purchase price of the owner's shares. This is the worth of a good or service as established by the discounted and current value of the item's cash flows Finance A. Corporation B. C. This term describes individuals and groups, both internal and external to the company, whose support is critical to the success of the organization This corporate officer is responsible for managing the firm's cash and short-term investments, pension fund, and risks This is a company's attitude and standards of conduct toward its stakeholders, including its customers, stockholders, creditors employees, suppliers, management, and the community This member of a partnership has the privilege of not having personal assets at risk in the event of the failure of the partnership Treasurer Limited liability D. Business ethics E. Limited partner F. Double taxation of G. This entity, which is legally separate from its managers and owners, is dividends authorized by a state to conduct business The U.S. Internal Revenue Service taxes the taxable income of corporations as well as the taxable investment income of the firms' shareholders. Shareholder wealth maximization H. Stakeholder I. It deals with obtaining the right amount of money from the right sources at the right time, where "right" is determined by how the amounts, sources, and times affect the value of the individual or organization This primary goal of financial management is evaluated by the effect of a decision or an action on the value of the firm Value J. The chief financial officer in a company is responsible for which of the following departments? Check all that apply Accounting Marketing Investor relations Production

Explanation / Answer

Finance : - The correct option is I

Corporation :- The correct option is G

Treasurer : - The correct option is D

Limited liability :- The correct option is A

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