You have $5,000 invested in a bank that pays 3.8% annually. How long (in years) will it take for your funds to triple?

The primary operating goal of a publicly-owned firm interested in serving its stockholders should be to

a.	Maximize the stock price per share over the long run, which is the stock's intrinsic value.
b.	Maximize the firm's expected EPS.
c.	Minimize the chances of losses.
d.	Maximize the firm's expected total income.
e.	Maximize the stock price on a specific target date.

Which of the following statements is CORRECT?

a.	If expected inflation increases, interest rates are likely to increase.
b.	If individuals in general increase the percentage of their income that they save, interest rates are likely to increase.
c.	If companies have fewer good investment opportunities, interest rates are likely to increase.
d.	Interest rates on all debt securities tend to rise during recessions because recessions increase the possibility of bankruptcy, hence the riskiness of all debt securities.
e.	Interest rates on long-term bonds are more volatile than rates on short-term debt securities like T-bills.

Other things held constant, which of the following actions would increase the amount of cash on a company's balance sheet?

a.

The company purchases a new piece of equipment.

b.

The company repurchases common stock.

c.

The company pays a dividend.

d.

The company issues new common stock.

e.

The company gives customers more time to pay their bills.

You have $5,000 invested in a bank that pays 3.8% annually. How long (in years) will it take for your funds to triple?

a.	20.99
b.	22.26
c.	24.58
d.	26.98
e.	29.46

The primary operating goal of a publicly-owned firm interested in serving its stockholders should be to

a.	Maximize the stock price per share over the long run, which is the stock's intrinsic value.
b.	Maximize the firm's expected EPS.
c.	Minimize the chances of losses.
d.	Maximize the firm's expected total income.
e.	Maximize the stock price on a specific target date.

Which of the following statements is CORRECT?

a.	If expected inflation increases, interest rates are likely to increase.
b.	If individuals in general increase the percentage of their income that they save, interest rates are likely to increase.
c.	If companies have fewer good investment opportunities, interest rates are likely to increase.
d.	Interest rates on all debt securities tend to rise during recessions because recessions increase the possibility of bankruptcy, hence the riskiness of all debt securities.
e.	Interest rates on long-term bonds are more volatile than rates on short-term debt securities like T-bills.

Other things held constant, which of the following actions would increase the amount of cash on a company's balance sheet?

a.	The company purchases a new piece of equipment.
b.	The company repurchases common stock.
c.	The company pays a dividend.
d.	The company issues new common stock.
e.	The company gives customers more time to pay their bills.