Agency theory suggests that managers(the agents), particularly those of large , publically-owned firms, may have different objectives from those of the:

A: Workers

B: Subordinates

C: Shareholders

D: Employees

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Shareholders

Maximizing Shareholder wealth:

A: Relieves the firms responsibility towards society

B: Does not relieve the firms responsibility towards society

C: Partially relives the firms responsibility towards society

D: None of Them

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Does not relieve the firm’s responsibility towards society

Period costs include which of the following?

A: Selling expense

B: Raw material

C: Direct labor

D: Manufacturing overhead

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Selling expense

Product costs include which of the following?

A: Selling expenses

B: General expenses

C: Manufacturing overhead

D: Administrative expenses

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Manufacturing overhead

Financial policy is evaluated by which of the following?

A: Profit Margin

B: Total Assets Turnover

C: Debt-equity ratio

D: None of the given options

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Debt-equity ratio

Cash flow from assets involves which of the following component(s)?

A: Operating cash flow

B: Capital spending

C: Change in net working capital

D: All of the given options

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All of the given options

Which of the following refers to the cash flows that result from the firmŸs day-to-day activities of producing and selling?

A: Operating Cash Flows

B: Investing Cash Flows

C: Financing Cash Flows

D: All of the given options

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Operating Cash Flows

All the constituencies with a stake in the fortunes of the company are termed as:

A: Stakeholders

B: Directors

C: Chief executives

D: Subordinates

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Stakeholders

___________ is concerned with the acquisition, financing, and management of assets with some overall goal in mind.

A: Financial management

B: Profit maximization

C: Agency theory

D: Social responsibility

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Financial management

Having some overall goal in mind, financial management is concerned with:

A: Acquisition of assets

B: Financing of assets

C: Management of assets

D: All of them

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All of them

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