QUESTION $1$

$[10]$

Select the correct answer from the provided options.

$1\mathrm{.}1$ What is the main goal of financial management?

$(1)$

a$.$ To ensure short$-$term profitability

b$.$ To increase the value of the firm

c$.$ To maximize revenue

d$.$ To minimize expenses

$1\mathrm{.}2$ What is the accounting equation used to calculate the value of a firm?

$(1)$

a$.$ Profit $=$ Revenue $-$ Expenses

b$.$ Equity $=$ Assets $-$ Liabilities

c$.$ Revenue $=$ Expenses $+$ Profit

d$.$ Assets $=$ Liabilities $+$ Equity

$1\mathrm{.}3$ What is the short$-$term financial goal of a firm?

$(1)$

a$.$ To ensure profitability, liquidity, and solvency

b$.$ To invest in long$-$term projects and assets

c$.$ To find the cheapest source of money

d$.$ To manage day$-$to$-$day operations effectively

$1\mathrm{.}4$ What is liquidity in financial management?

$(1)$

a$.$ The ability to generate revenues that exceed total costs

b$.$ The ability to satisfy long$-$term obligations

c$.$ The ability to satisfy short$-$term obligations

d$.$ The extent to which a firm's assets exceed its liabilities