CPA Business Environment and Concepts (BEC) - Financial Risk Management

1

When a firm finances each asset with a financial instrument of the same approximate maturity as the life of the asset, it is applying:

2

When a firm finances each asset with a financial instrument of the same approximate maturity as the life of the asset, it is applying:

3

If a firm increases its cash balance by issuing additional shares of common stock, working capital:

4

If a firm increases its cash balance by issuing additional shares of common stock, working capital:

5

The main reason that a firm would strive to reduce the days sales in accounts receivable is to increase:

6

The main reason that a firm would strive to reduce the days sales in accounts receivable is to increase:

7

Which of the following would increase the working capital of a firm?

8

Which of the following would increase the working capital of a firm?

9

The working capital financing policy that subjects the firm to the greatest risk of being unable to meet the firm's maturing obligations is the policy that finances:

10

The working capital financing policy that subjects the firm to the greatest risk of being unable to meet the firm's maturing obligations is the policy that finances:

Financial Risk Management

Practice Questions