Section one 7 marks Answer by TRUE or False and correet the mistakes if there are 1. The strategic goal of financial manager is profit maximization. 2. The confliet between the goals of a firm's owners and the goal of tsnon-ow managers is called corporate governance ( 3. One of the main limitations of financial ratios is the inflation-induced distortions 4 The current ratio is a measure of the firm's ability to meet its long and short-term obligations (). Time value of money is based on the belief that a dollar that will be received at some future date is worth more than a dollar today 5. Everything else being equal, the higher the number of periods, the higher the present value ( 6. Risk, the magnitude of cash flows and their timing determine share price, and share price determine the wealth of the firm's owners 7