1. An example of fixed asset is________.

A) Live stock
B) Value stock.
C) Income stock.
D) All of the above.



2. Which of the following constitutes an internal source of funds:

A) corporate bonds
B) common stock
C) commercial paper
D) retained earnings and amortization cash flow



3. It would be fair to say that securities markets in the future:

A) will become more competitive as an international market system develops
B) will be less efficient
C) will be more highly segregated than they are today
D) will be less automated than today's markets



4. The field of finance is closely related to the fields of:

A) statistics and economics
B) statistics and risk analysis
C) economics and accounting
D) accounting and comparative return analysis



5. Amortization is considered a source of funds to the firm because:

A) it is purely an accounting entry and doesn't involve a direct disbursement of funds, freeing up these funds for other investments
B) it represents a reduction in asset holdings
C) it represents an increase in an asset account
D) amortization is not a source of funds