Explain briefly the operation of the present international
Why is corporate finance important to all
b. Describe the organizational forms a company might
have as it evolves from a
start-up to a major corporation. List the advantages and
disadvantages of each
c. How do corporations go public and continue to
d.What should be the primary objective of
e.What three aspects of cash flows affect the value of
g. What is the weighted average cost of
h. How do free cash flows and the weighted average cost
of capital interact to
determine a firm’s value?
Business Finance Study Questions
1. A. What are the alleged advantages of a fixed over
a flexible exchange rate system? How do advocates of flexible
exchange rates respond?
overall conclusion can be reached on whether flexible or fixed
exchange rates are preferred?
2. What is meant by a crawling peg system? How can such a system
overcome the disadvantage of an adjustable peg system?
economic conditions today differ from those prevailing under the
gold standard period.
the different economic conditions today would make the
reestablishment of a smoothly working gold standard impossible.
4. A. With respect to a nation with a $100-million quota in the
IMF, indicate how the nation was to pay in its quota to the IMF and
the amount that the nation could borrow in any one year under the
B. How are the
rules different today?
5. Explain the role of the dollar under the Bretton Woods
6. Explain briefly the operation of the present international
Using the Yahoo Finance take a look at the five year chart for
Wal-Mart. Using this chart and other information you can
find on this company, write a two-page paper answering the
What do you think would the futures price of 100 shares of Wal-Mart
to be delivered to you in one year be right now?