BUSN 5200 Quiz for week 1
Note: In the questions below, the correct answer is identified with an asterisk
c. Chief Operating Officer (COO)
d. VP of Financial Planning
a. Corporations are larger than partnerships and sole proprietorships
b. The owners of corporations get to keep all the company’s profits
c. The owners of corporations run the business and have unlimited liability
d. Corporations are “legal persons” separate and distinct from their owners
a. Maximize expected total corporate profit.
b. Maximize expected EPS.
c. Minimize the chances of losses.
d. Maximize the stock price per share.
e. Maximize expected net income.
a. The firm’s Net Income during the past year
b. Expected Earnings per Share during the coming year
c. Book Value (or Net Worth) as recorded on the balance sheet
d. The price of the firm’s stock on the open market
Net Income Stock Price at Stock Price at
this year Beg of Year End of Year
Firm A: $10,000,000 $20 $10
Firm B: $(10,000,000) $10 $20
a. The manager of Firm A is doing a better job than B
b. The manager of Firm B is doing a better job than A
c. Neither manager is doing a good job
d. Both managers are doing a good job
c. Definitely unethical
d. Legal, but might be considered unethical by some
a. Always the same
b. Always different
c. Might be different
d. Must be different
a. Mr. Jim Skinner
b. Mr. Ray Kroc
c. Mr. Don Thompson
d. Ms. Jan Fields
e. Mr. Fred Turner