FIN 101 CBT PRACTICE

1. Financial decisions is concerned with the acquisition and not disposal of assets through commitment or re-commitment of funds on a continuous basis.

2. In a financial system, the Household are also referred to as ____________

3. xternal finance is also known to as ------- fund/finance

4. Internal finance is also known to as ------- fund/finance

5. A ------------ is a certificate stating the amount of money lent by a holder to the company.

6. A ----------- can also obtain equity funds by retaining earnings available for shareholders

7. Which of the following was not always a major events in the life the firm for raising funds

8. Money is the common denominator for the full range of activities performed in the business.

9. ---------- decisions involve capital expenditures which are referred to as capital budgeting decision.

10. The accounting and control function for the finance manager include

11. ------- evolved from economics as its branch in the early part of the 20th century

12. Price mechanism is a vital organ of a ---------------, showing the goods and services required in the community.

13. --------------- is an example of external finance

14. Shareholders can be of two types, namely preference and --------------------

15. Business need to hold cash to achieve the ------------- motive

16. Cash flow element include ----------------

17. A business is a concern, an enterprise, or organization set up by an individual or group of individuals for the purpose of making -------- from operations of the concern.

18. There are two kinds of markets, namely real assets and ---------

19. ----------- is an example of fixed asset

20. Profit after tax is --------------- item

21. The balance sheet is more important than other financial statements to report the activities and performance of the firm

22. Profit planning is not related to considering ----

23. ---------- shareholders receive dividend at a fixed rate and they enjoy a priority over ordinary shareholders.

24. According to Hornby (2001), finance is the money need or needed to--------- an activity, project, programme etc. and or the management ofmoney.

25. Profit maximization objective is not always clear to stakeholders of the firm.

26. Shareholders invest their money in the shares of a company in the expectation of a return on their invested ----------- .

27. According to Anao (1993), which one of the following is an example of money or near-money

28. The ----------- of profits distributed as dividend is called the dividend-payout ratio.

29. Buyers of shares are called ------------------------

30. Finance manager's duties include ______________

31. ----------------- are risks of losses because of unforeseen intervention by governments.

32. ----------------- are risks of losses because of unforeseen intervention by governments.

33. Finance may be defined as the provision of money at the time it is-----------

34. Intangible ------------ include copyrights, patent, technical know-how.

35. The --------- are expected to be arranged in such a way that fund (money) is always available to make necessary payments as they arise.

36. The capital structure of a firm could be defined as -------------

37. --------- represent ownership rights of their holders

38. ------------------ is a book in which receipts and payment of money are recorded

39. The capital structure is said to be optimum when the market value of shares is --------------.

40. Undistributed profits is also known as ----------------