Are y relatively independent from the business cycle

Stocks that pay relatively high dividend

Spending, saving and investing to have the kind of life you want and financial security can be achieved by?

Discussing your financial situation with a friend

Which of the following statements is not correct regarding earnings per share (EPS) maximization as the primary goal of the firm?

EPS maximization is concerned with maximizing net income

EPS maximization ignores the firm's risk level

EPS maximization does not specify the timing or duration of expected EPS

EPS maximization naturally requires all earnings to be retained

EPS maximization is concerned with maximizing net income

How are earnings per share calculated?

Use the income statement to determine earnings after taxes (net income) and divide by the number of common shares outstanding

Use the income statement to determine earnings after taxes (net income) and divide by the previous period's earnings after taxes. Then subtract 1 from the previously calculated value

Use the income statement to determine earnings after taxes (net income) and divide by the number of common shares outstanding

Use the income statement to determine earnings after taxes (net income) and divide by the number of common and preferred shares outstanding

Use the income statement to determine earnings after taxes (net income) and divide by the forecasted period's earnings after taxes. Then subtract 1 from the previously calculated value

You need to understand financial management even if you have no intention of becoming a financial manager. One reason is that the successful manager of the not-too-distant future will need to be much more of a __________ who has the knowledge and ability to move not just vertically within an organization but horizontally as well. Developing __________ will be the rule, not the exception.

Team player; cross-functional capabilities

Generalist; general business skills

Technician; quantitative skills

Team player; cross-functional capabilities

Which of the following statements is correct regarding profit maximization as the primary goal?

Profit maximization is concerned more with maximizing net income than the stock price

Profit maximization considers the risk level

Profit maximization will not lead to increasing short-term profits at the expense of lowering expected future profits.

Profit maximization does consider the impact on individual shareholder's EPS

Profit maximization is concerned more with maximizing net income than the stock price

In negotiating car prices, choosing among various makes, models, and options can make comparison difficult. You can check one of the popular price guides to research used car prices. What is that guide?

National Automobile Dealers Association

National Automobile manufacturer Association

National Automobile vendor Association

Once the dealer accepts your offer, you complete the purchase transaction and take the delivery of the car. If you are not paying cash for the car, you can arrange financing:

Through a consumer finance company

An arrangement in which the lessee receives the use of a car (or the asset) in exchange for making monthly lease payments over a specified period

An arrangement in which the lessee receives the use of a car (or the asset) in exchange for making weekly lease payments

An arrangement in which the lessee receives the use of a car (or the asset) in exchange for making Quarterly lease payments over a specified period

An arrangement in which the lessee receives the use of a car (or the asset) in exchange for making monthly lease payments

If the car is worth less than this value at the end of the lease, the lessee must pay the difference

An automobile lease under which the estimated residual value of the car is used to determine lease payments

An automobile lease under which the estimated actual value of the car is used to determine lease payments

If the car is worth less than this value at the end of the lease, the lessee must pay the difference

If the car is worth less than this value at the end of the lease, the lesser must pay the difference

An automobile lease under which the estimated residual value of the car is used to determine lease payments

A good lease contract should clearly define what is considered unreasonable. In addition, most leases requires the lessee to pay a disposition fee:

Of about $150 to $250 when the car is returned

Of about $50 to $250 when the car is returned

Of about $200 to $250 when the car is returned

Of about $150 to $250 when the car is returned

Of about $1500 to $250 when the car is returned

Advantages of leasing are all of the following EXCEPT:

No trade in hassle at the end of the lease

Disadvantages of leasing are all of the following EXCEPT:

When interest rates are low, owning makes more financial sense than leasing

A legal instrument that protects both the lesser and the lessee from an adverse action by the other party

It specifies the amount of monthly payment

It specifies the length of the lease agreement

The principal reason for the existence of leasing is that:

Companies, financial institutions, and individuals derive different benefits from owning

Intermediate-term loans are difficult to obtain

This is a type of financing unaffected by changes in tax law

Companies, financial institutions, and individuals derive different benefits from owning

Leasing is a renewable source of intermediate-term funds

ABA CTFA Practice Test 6 - Free Online Exam Questions 201-240

Spam

Selling illegal goods, money scams etc.

Hate Speech

Serious attack on a group.

Harassment and bullying

Harassing an individual (including doxing)

Harmful activities

Threatening or glorifying violence or serious harm, including self-harm

Adult content (Consensual)

Nudity/Sexual content

Sexual exploitation and abuse (child safety)

Sexually explicit or suggestive imagery or writing involving minors

Sexual exploitation and abuse (adults and animals)

Sexually explicit or suggestive imagery or writing involving non-consenting adults or non-humans

Plagiarism

Reusing content without attribution (link and blockquotes)

Poorly written

Not in English or has very bad formatting, grammar, and spelling

Inappropriate credential

Author's credential is offensive, spam, or impersonation

Other

Ex. Illegal content, incomplete question...

ABA CTFA Practice Test 6

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ABA CTFA Practice Tests

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