fundamentals of corporate finance 11th canadian edition By Stephen A. Ross Test bank
77) The person generally directly responsible for overseeing the tax management, cost accounting, financial accounting, and data processing functions is the:
A) Treasurer.
B) Director.
C) Controller.
D) Chairman of the board.
E) Chief executive officer.
78) The person generally directly responsible for overseeing the cash and credit functions, financial planning, and capital expenditures is the:
A) Treasurer.
B) Director.
C) Controller.
D) Chairman of the board.
E) Chief operations officer.
79) The corporate document that sets forth the business purpose of a firm is the:
A) Indenture contract.
B) Provincial tax agreement.
C) Corporate bylaws.
D) Corporate charter.
E) Articles of incorporation.
80) Agency costs are:
A) The total dividends paid to shareholders over the lifetime of the firm.
B) The costs that result from default and bankruptcy of the firm.
C) Corporate income subject to double taxation.
D) The costs of the conflict of interest between stockholders and management.
E) The total interest paid to creditors over the lifetime of the firm.
81) The death of the firm's owner(s) does NOT effectively dissolve which type(s) of organization?
A) Sole proprietorship.
B) Partnership.
C) Corporation.
D) Hybrid partnership.
E) Limited proprietorship.
82) Which one of the following business types is best suited to raising large amounts of capital?
A) Sole proprietorship.
B) Limited liability company.
C) Corporation.
D) General partnership.
E) Limited partnership.
83) The best definition of financial engineering is:
A) A company that owns or finances income-producing real estate.
B) A company that owns or finances engineering projects.
C) Creation of new securities or financial processes.
D) Financial markets where long-term debt and equity securities are bought and sold.
E) The purchase or sale of securities whose value derives from the price of another, underlying, asset.