Question

A business that has a provision, in its agreements with financers, that it can pay back or reduce what is owed before its due
An effective financial manager would finance temporary current assets (such as inventory) with: Select one: a. Fixed short-te
Debt that is scheduled to fall due five years after being taken out is regarded as: Select one: 10 a. Medium-term debt b. Sho
Maximising the wealth of the firm is achieved by: Select one: O a. Maximising the cost of capital; minimising risk; minimisin
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Answer #1

1. (C) Flexibility consideration.

2. ( B) Debt

3. (D) Flexible short term debt

4. (D) 10.8%

5 .(A) Medium term debt

6.(B) False

7.(C) Minimising cost of capital, Minimising Risk and maximizing Return on Assets

8.(C) priority of claim

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