QUESTION 1

Winslow Enterprises has total assets of $11,700, net working capital of $1,400, owner's equity of $5,000 and long-term debt of $3,500. What is the value of the current assets?

	a.	$7,200
	b.	$1,800
	c.	$4,600
	d.	$2,100
	e.	$4,800

QUESTION 2

When a firm decides to issue stock to raise funds, the company is making a(n) __________ decision

	a.	capital structure
	b.	working capital
	c.	capital budgeting
	d.	marketing
	e.	investment

QUESTION 3

Which of the following is (are) considered a benefit of the corporate form of organization?

I. ease of the transfer of ownership

II. corporation's limited life

III. double taxation

	a.	I only
	b.	II only
	c.	I and II only
	d.	I and III only
	e.	I, II, and III