Financial Management Flashcards

1
Q

Financial Management

A

What is the primary focus of working capital management?

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2
Q

Financial Management

A

How is Net Working Capital calculated?

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3
Q

Financial Management

A

What are the characteristics of effective Working Capital Management?

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4
Q

Financial Management

A

What is the Inventory Conversion Period?

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5
Q

Financial Management

A

What is the Receivables Collection Period?

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6
Q

Financial Management

A

What is the Payables Deferral Period?

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7
Q

Financial Management

A

What is the Cash Conversion Cycle?

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8
Q

Financial Management

A

What traits should Cash and Short-Term Investments have?

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9
Q

Financial Management

A

For what are Letters of Credit used?

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10
Q

Financial Management

A

What is the advantage of using Trade Credit?

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11
Q

Financial Management

A

What is a Lockbox System? What are the advantages?

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12
Q

Financial Management

A

What is float?

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13
Q

Financial Management

A

What are Zero Balance Accounts?

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14
Q

Financial Management

A

What is the difference between Treasury Bills- Notes and Bonds?

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15
Q

Financial Management

A

What is commercial paper?

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16
Q

Financial Management

A

What are the advantages and disadvantages of Commercial Paper?

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17
Q

Financial Management

A

What is Economic Order Quantity?

18
Q

Financial Management

A

What is Carrying Cost?

19
Q

Financial Management

A

What is Order Cost?

20
Q

Financial Management

A

What is inventory reorder point?

21
Q

Financial Management

A

What is a Just In Time (JIT) system?

22
Q

Financial Management

A

What is Factoring of receivables?

23
Q

Financial Management

A

What is a Trade Discount?

24
Q

Financial Management

A

What is the cost of forgoing a discount?

25
Q

Financial Management

A

What is the Prime Rate?

26
Q

Financial Management

A

What is the Nominal (Face- Coupon- Stated) Rate?

27
Q

Financial Management

A

How is Current Yield calculated?

28
Q

Financial Management

A

What is the Effective (YTM- Market) Rate?

29
Q

Financial Management

A

What is a Zero Coupon Bond?

30
Q

Financial Management

A

What are the characteristics of a Junk Bond?

31
Q

Financial Management

A

What are debenture bonds?

32
Q

Financial Management

A

What are subordinated debentures?

33
Q

Financial Management

A

What are Redeemable Bonds?

34
Q

Financial Management

A

What is a Callable Bond?

35
Q

Financial Management

A

What is a Convertible Bond?

36
Q

Financial Management

A

What is a Sinking Fund?

37
Q

Financial Management

A

What is the disadvantage of Common Stock in comparison to bonds?

38
Q

Financial Management

A

What is the advantage of Preferred Stock?

39
Q

Financial Management

A

What is Weighted Average Cost of Capital?

40
Q

Financial Management

A

What is CAPM?

41
Q

Financial Management

A

How is Cost of Debt calculated?