A board of directors is elected as a representative of the corporation’s（）
A. top management
B. stakeholders
C. shareholders
D. customers
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One common reason for partnerships to convert to a corporate form of organization is that the partnership（）
A. faces rapidly growing financing requirements
B. wishes to avoid double taxation of profits
C. has issued all of its allotted shares
D. agreement expires after ten 10 years
Short-term financing decisions commonly occur in the（）
A. primary markets
B. secondary markets
C. capital markets
D. money markets
A balance sheet portrays the value of a firm’s assets and liabilities（）
A. over an annual period
B. over any stated period of time
C. at any stated point in time
D. only at the end of the calendar year
Which of the following will allow your firm to achieve its targeted 16% ROA with an asset turnover of 2.5（）
A leverage ratio of .0667
B. A P/E ratio of 14
C. A profit margin of 15%
D. A profit margin of 6.4%
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