In persuading a busy executive to visit a college class, which of the following illustrates a direct benefit to the reader?
A) You will be helping students learn about the finance field.
B) You will receive a $500 honorarium.
C) We would appreciate your giving up your time, and we are grateful for your efforts.
D) You would earn the respect of all your colleagues.
B
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When one company purchases less than 50% of equity securities in a second company, which of the following statements is true?
a. The purchaser is referred to as the parent. b. The purchaser is referred to as the subsidiary. c. The company whose securities are purchased is the subsidiary. d. The company whose securities are purchased is the investee.
Most large companies consist of four organizational levels: the corporate level, the ________, the business unit level, and the product level
A) board of director level B) major stakeholder level C) management team level D) division level E) strategic level
An example of a guideline (or rule of thumb) for comparison is the 2:1 level for the current ratio and 1:1 level for the acid-test ratio.
Answer the following statement true (T) or false (F)
As part of its financial budget, Clover & Max, an advertising agency, prepared a document that identified the agency's planned investments in major fixed assets and long-term projects. The given information indicates that the agency prepared the:
A. statement of cash flows. B. static budget. C. capital expenditure budget. D. sales budget.