1. Solving the debt/interest problem begins with taking a guess at:

A. ending debt

B. beginning debt

C. interest

D. equity

2. The Gross Domestic Product of the United States is approximately:

a. $10 trillion

b. $50 trillion

c. $986 billion

d. $20 trillion

3. The Fortune 500 refers to:

a. Americas most admired companies

b. The best companies to work for

c. The fastest growing publicly traded companies

d. The 500 largest publicly traded firms by sales volume

4. Which of the following is a part of corporate responsibility provisions of the Sarbanes-Oxley Act?

a. Brokerage firms analysts must certify that they believe their own reports.

b. CEOs and CFOs must certify the correctness of financial statements.

c. Auditing firms may no longer provide management consulting services.

d. Creation of the Public Company Accounting Oversight Board)

5. In general, the financial markets provide a vehicle for:

a. the production sector to save money.

b. the consumption sector to spend money.

c, the consumption sector to invest money.

d. the production sector to supply money to the consumption sector.

6. In an efficient market:

a. new information is quickly disseminated)

b. an investor cannot consistently beat the market.

c. all available information is reflected in stock price.

d. all of the above.

7. Which of the following is not true concerning privately held companies?

a. Generally does not have a large number of shareholders.

b. Cannot make sales solicitations across state lines.

c. Sales are severely restricted by federal regulation.

d. Stock cannot be sold to anyone other than current stockholders.