1. Financial risk perception is an influencing factor of _____________.

A) Equity structure.
B) Preference structure.
C) Debt structure.
D) Capital structure.



2. _________ is the expected cash dividend that is normally paid to shareholders.

A) Stock split.
B) Stock dividend.
C) Extra dividend
D) Regular dividend.



3. The field of finance is closely related to the fields of _________.

A) Statistics and economics.
B) Statistics and risk analysis.
C) Economics and accounting.
D) Accounting and comparative return analysis.



4. The allocation of capital is determined by _________.

A) Expected rates of return.
B) The Bank of Canada.
C) The initial sale of securities in the primary market.
D) The size of the federal debt



5. In deciding the appropriate level of current assets for the firm, management is confronted with _____________.

A) A trade-off between profitability and risk.
B) A trade-off between liquidity and marketability.
C) A trade-off between equity and debt.
D) Trade-off between current assets and profitability.