Choose the com 1) Which one of the following is a capital budgeting decision? A) Determining how much debt should be borrowed from a particular lender B) Deciding whether or not a new production facility should be built C) Deciding when to repay a long-term debt D) Determining how much inventory to keep on hand E) Deciding how much credit to grant to a particular customer 2) Which one of these is a correct definition? A) Net working capital equals current assets plus current liabilities. B) Current liabilities are debts that must be repaid in 18 months or less. C) Current assets are assets with short lives, such as accounts receivable. D) Long-term debt is defined as a residual claim on a firm's assets. E) Tangible assets are fixed assets such as patents. 3) A firm's capital structure refers to the firm's: A) mixture of various types of production equipment. B) investment selections for its excess cash reserves. C) combination of cash and cash equivalents. D) combination of accounts appearing on the left side of its balance sheet. E) proportions of financing from current and long-term debt and equity 4) Which one of these accounts is included in net working capital? A) Copyright B) Manufacturing equipment C) Common stock D) Long-term debt E) Inventory 5) The process of planning and managing a firm's long-term assets is called: A) working capital management. B) cash management C) cost accounting management. D) capital budgeting. E) capital structure management