8 Questions
Which principle does the financial manager heavily rely on to make financial decisions?
Marginal cost-benefit analysis
What are the primary activities of the financial manager?
Investment decisions and financing decisions
How is the managerial finance function related to economics and accounting?
It relies on economic principles to make financial decisions
Which of the following best describes finance?
The process of managing money
What are the legal forms of business organization?
Sole proprietorship, partnership, and corporation
What is the goal of a firm in business?
Maximizing its value
Why is maximizing the value of the firm an appropriate goal for a business?
It benefits the shareholders
What principle does the financial manager heavily rely on to make financial decisions?
Marginal cost–benefit analysis
Test your knowledge on the relationship between managerial finance, economics, and accounting. Learn about the primary activities of a financial manager and how they rely on economic principles to make informed decisions.
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