Regarding cash flow, a firm should ideally have:

		Enough money coming into the firm to cover the expenses in that period
		More cash flowing out than in since this represents growth
		Short-term financing only two to three times a year
		Constant need for short-term financing

When a corporation uses an initial public offering to raise capital, where is the stock sold?

		Primary market
		Unsecured market
		Securities exchange commission
		Over-the-counter exchange

Typical electronic funds transfer (EFT) applications include all of the following EXCEPT:

		Automated teller machines (ATMs)
		Initial public offering (IPOs)
		Automated clearinghouses (ACHs)
		Point-of-sale (POS) terminals, and electronic check conversion (ECC).

The earnings of a corporation distributed to stockholders are called:

		Interest payments
		Retained earnings
		Dividends
		Premiums

What is the most basic form of ownership in a corporation?

		Bonds
		Preferred stock
		Debentures
		Common stock

Where does equity capital for a corporation come from?

		Bondholders
		Stockholders
		Banks
		Insurance companies