A short-term bank line with $20 million of unused capacity and an investment in an overnight money market fund are both forms of which liquidity requirement?

• A.Precautionary
• B.Strategic
• C.Opportunity
• D.Transaction

Comment: *

Name: *

Email: *

Verification: *

A put option gives the holder the right to:

• A.buy the underlying stock at the strike price.
• B.sell short shares of the underlying stock at the strike price.
• C.sell the underlying stock at the strike price.
• D.buy long shares of the underlying stock at the strike price.

Comment: *

Name: *

Email: *

Verification: *

Which two of the following are optimal uses for short-term excess cash?
I. Pay down credit lines.
II. Make overnight investments.
III. Repurchase stock.
IV.
Make capital expenditures.

• A.I and II
• B.II and III
• C.II and IV
• D.I and III

Comment: *

Name: *

Email: *

Verification: *

What document serves as the basic account or service authorization, empowering a representative of a business to enter into agreements for financial services?

• A.Signature card
• B.Account resolution
• C.Service agreement
• D.Credit agreement

Comment: *

Name: *

Email: *

Verification: *

When a company decides to discontinue a product line or divest of a subsidiary, it has made what type of corporate financial decision?

• A.Funding
• B.Accounting
• C.Financing
• D.Investment

Comment: *

Name: *

Email: *

Verification: *