Questions from Financial Management

Q: What would you expect to happen to the price of Fastest Company’s

What would you expect to happen to the price of Fastest Company’s preferred shares if inflation increased and the Fed increased interest rates, with banks following suit?

Q: Explain why a hotel company might have a higher proportion of debt

Explain why a hotel company might have a higher proportion of debt in its capital structure relative to a drug company.

Q: According to the trade-off model of capital structure, why

According to the trade-off model of capital structure, why is there an optimal capital structure for a particular firm?

Q: According to the pecking-order model of capital structure, firms

According to the pecking-order model of capital structure, firms will tend to raise capital in which of the following orders? a. Equity, debt, internal financing b. Internal financing, debt, equity c....

Q: Explain the difference between real assets and financial assets.

Explain the difference between real assets and financial assets.

Q: Identify the sources of cash and uses of cash for each year

Identify the sources of cash and uses of cash for each year. Create sources and uses statement.

Q: Describe the three key cash-related activities of a firm.

Describe the three key cash-related activities of a firm.

Q: How is a recession typically measured?

How is a recession typically measured?

Q: How do sole proprietorships, general partnerships, limited liability companies,

How do sole proprietorships, general partnerships, limited liability companies, S corporations, and C corporations differ?

Q: What is the primary goal of an enterprise?

What is the primary goal of an enterprise?