5 points

Question 6

The principal differences between capital markets and money markets are that

		money and capital markets deal in the same securities, the only difference is term.
		both markets deal in short-term debt securities; however, capital markets deal also in equity securities which have an indefinite term.
		money markets deal only in short-term government debt.
		capital markets deal in long-term debt and equity securities, while money markets deal only in short-term debt.

5 points

Question 7

Although budgeting and forecasting appear similar, forecasting relates to a shorter time horizon and usually focus on

		cash flow and profitability.
		capital considerations.
		human resources.
		meeting engineering goals.

5 points

Question 8

The principle behind time value of money is based on the fact that:

		a sum of money in hand today is worth more than the same sum in the future
		a sum of money in hand today is worth less than the same sum in the future
		a sum of money in the future is worth less than the same sum in hand today
		all of the above
		a and c only

5 points

Question 9

____ markets deal in long-term securities having maturities greater than one year.

		Credit
		Money
		Super
		Capital

5 points

Question 10

The present value of an amount can be represented as

		PV = FVn[PVFk,n]
		PV = FVn[PVFAk,n]
		PV = FVn[1 / (1 + k)^n]
		all of the above
		a and c only