Financial Planning 1.03 Review

One of the roles of ethics in finance is to encourage business employees to

Make the right decisions

Which is an example of a non-deposit financial institution

Mortgage bank

The amount of money that a business owes to someone else is:

accounts payable

money owed to the business is known as

accounts receivable

Determining which projects a business should invest in is known as

capital budgeting

Julie, a newly promoted manager, lacks the time to properly prepare employee work schedules and assigns this duty to the assistant manager. Which time management technique is Julie using?

delegating activities

A manager is most likely to use financial information when

determining resources available to fund a new project

Commercial banks and brokerage firms are examples of

financial intermediaries

The finance function ensures that the company's financial goals are

in line with organizational priorities

the administration of assets refers to decisions about

investments

How does the finance function relate to company spending

it plans and controls spending

finance is the business function that involves managing

money

The finance function would definitely be involved in a decision regarding

new business projects and strategies

Accounting is distinct from finance because its main focus is on

recordkeeping activities

Which is a measure of how well a business generates cash flow

return on capital

an institution that combines the elements of a bureaucracy with those of a private company is called

semi-government

why do so many businesses develop to encourage ethical behavior in finance

standards

what effect does the demand of time have on the supply of time available

the supply of time stays the same

when an employee always works a full day, but never seems to complete any tasks, that employee needs to focus on

time management

Which is a way that businesses can use financial information

to identify trends

When Alana prepares a report so that all of the financial data is clearly disclosed, she is ensuring that the information is

transparent

Thad is investing in a money market, which buys and sells products such as

treasury bills

decisions about financing refer to the

Acquisition of funds

Beau is stressed out because he agreed to take on three new clients when his calendar is already full. Which time-management principle does he need to learn?

Be realistic in accepting responsibility for work

When return on capital is positive, the company is most likely:

Growing in value

which activities should be excluded from a daily to-do list

activities that must be done next month

Natalia is upset because she was supposed to work on a certain account today, but her boss switched her to another account at the last minute. Which time-management principle does she need to learn?

be flexible

Which are examples of deposit-taking financial institutions

credit unions, savings and loan associations, and commercial banks

The goals of the finance function are to ensure profitability and to:

reduce risk

The concept of time management refers to the process of how to:

efficiently use a 24-hour day

when scheduling daily activities, one should always keep in mind that plans may need to change, creating the need for

flexibility

To keep communication flowing with other departments, the finance function depends on:

information systems

The primary purpose of insurance companies is to provide products that help clients

minimize their risk