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Finance Questions

Explore questions in the Finance category that you can ask Spark.E!

How much money should you save before you start renting an apartment?Answers: A. enough to pay the first month's rentB. enough to pay the last month's rentC. enough to pay the security depositD. all of the above

In most states, it is illegal to drive withoutAnswers: A. health insurance.B. property insurance.C. liability insurance.D. disability insurance.

The return an investor in a security receives is ____ ______ the cost of the security to the company that issued it.

Sigma corporation consists of 2 divisions A and B. A is riskier than B. If Sigma Corp uses the firm's overall WACC to evaluate both divisions projects, which division will probably not receive all of its potentially profitable projects?

Dang's Donut has EBIT of $25,432 depreciation $1,500, and a tax rate of 18%. The company will not be changing it's net working capital, but plans a capital expenditure of $6,324. What is Dant's adjusted cash flow from assets?

Finding a firm's overall cost of equity is difficult to calculate because:

If you defaulted, you failed to Answers: A. pay back a loan.B. apply for financial aid.C. qualify for health insuranced.D. give money to charity.

A corporation has all the rights and responsibilities of Answers: A. a family.B. an individual.C. a government agency.D. a partnership.

As a rule of thumb, when renting an apartment, your monthly rent should not be more than the amount you earn in Answers: A. one week.B. two weeks.C. three weeks.D. four weeks.

A man borrows money from an automobile dealership to pay for a car. If he fails to repay the loan, the dealership will take possession of the car. In this situation, the dealership is (a) ___, the car is (a) ____, and the man is (a) _____.Answers: A. creditor, collateral, borrowerB. borrower, creditor, collateralC. credit union, loan, creditorD. loan, collateral, creditor

You should complete a FAFSA form if you want Answers: A. financial aid for college.B. to live in an apartment.C. automobile or property insurance.D. to donate money to a charity.

As a borrower, you want to payAnswers: A. a high interest rate.B. a low interest rate.C. a varying interest rate.D. any of the above.

The _____ rates for adjustable-rate mortgages vary over time, unlike fixed-rate mortgages.Answers: A. inflationB. interestC. taxD. insurance

Which of the following is guaranteed only by a promise?Answers: A. a Certificate of Deposit (CD)B. a secured loanC. a credit scoreD. an unsecured loan

Who issues municipal bonds?Answers: A. state and local governmentsB. CongressC. financial institutionsD. corporations

Your portfolio is diversified. You have _____ investments.Answers: A. completely successfulB. many differentC. financially basedD. preferred and common

What does a stockholder hold ?Answers: A. the profits of a businessB. a share in a corporationC. part of a mutual fundD. a Treasury bill

Passbook accounts, money market deposit accounts, money market mutual funds, and certificates of deposit (CDs) are good ways to _____ money.Answers: A. budgetB. borrowC. saveD. withdraw

Every student who wants financial aid must Answers: A. join the military.B. take AP classes.C. complete an application for a Social Security card.D. complete the FAFSA application form.

If an equity's firm discounts a project's cash flows with the firm's overall weighted average cost of capital even though the project's beta is less than the firm's overall beta, it is possible that the project might be:

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