NOTE: Circle the letter corresponding to the correct answer in the multiple choice questions 1. The primary goal of financial management is to maximize a. Net Income b. Market Share C. Market value of existing stock d. Number of shares outstanding (2) 2. List the three functional areas of financial management a b. C (4 pt) 3. A grocery store has $111,000 in current assets and $105,000 in current liabilities. These values describe its: a. net assets b. working capital c. capital structure d. capital allocation (2) 4. Which one of the following is most apt to align management's priorities with shareholders' Interests? a. Employee stock options b. bonuses tied to performance goals c. Both a and bd. None of above (2) 5. True or False: The Sarbanes-Oxley Act of 2002 makes the officers of a public corporation personally responsible for the firm's financial statements (2) 6. Which one of the following forms of business organization offers liability protection to some of its owners but not to all of its owners? a Corporation General Partnership c. Sole Proprietorship d. Limited Partnership (2) 7. Nana Kofi is trying to decide whether to issue 30-year bonds or new shares to fund his factory expansion. This is a decision. a. Capital Structure b. Working Capital Management Capital Budgeting d. Risk Management (2 pt) 8. John Doe is employed as a commercial loan officer for a regional bank centered in the Midwestern section of the U.S. In what area of finance is he employed? (2 pt) 9. What is Financial Management? Illustrate your answer with a chart (7 pt.)