Question
Q; The financial manager is characterized by which two decisions? a) Purchase real assets and purchase financial assets b) Sell real assets and purchase financial
Q; The financial manager is characterized by which two decisions?
a) Purchase real assets and purchase financial assets
b) Sell real assets and purchase financial assets
c) Sell real assets and sell financial assets
d)Purchase real assets and sell financial assets An example of a firm's financing decision would include:
Q; An example of a firm's financing decision would include?
a) whether or not to increase the price of its products
b) the issuance of ten-year versus twenty-year bonds.
c) how much to pay for a specific asset.
d) acquisition of a competitive firm.
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The detailed answer for the above question is provided below 1 The financial manager is characterized by which two decisions The correct answer is d Purchase real assets and sell financial assets Financial managers are primarily concerned with acquiring and allocating funds to maximize shareholder value Purchasing real assets like equipment or property and selling financial assets like stocks or bonds are key decisions in managing a firms capital structure 2 An example of a firms financing decision would include The correct answer is b the issuance of tenyear versus twentyyear bonds Financing decisions involve raising capital and choosing between debt and equity sources and specific terms like maturity period Issuing tenyear vs twentyyear bonds directly impacts the cost of capital and risk profile of the firm Explanation for incorrect answers a Purchase real assets and purchase financial assets While both are financial decisions a single action doesnt fully characterize ...Get Instant Access to Expert-Tailored Solutions
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