Identification for Unit 1

Question 1

a BODY OF FACTS, PRINCIPLES and THEORIES relating to raising and using
money by individuals, businesses and governments

Answer 1

FINANCE

Question 2

the PROCESS OF RAISING FUNDS OR CAPITAL for any kind of expenditure

Answer 2

FINANCE

Question 3

The SYSTEM that includes the CIRCULATION OF MONEY, the granting of credit,
the making of investments and the provision of banking facilities

Answer 3

FINANCE

Question 4

the PROCESS OF WORKING WITH AND THROUGH OTHERS to achieve organizational objectives in a changing environment.

Answer 4

MANAGEMENT

Question 5

involves COORDINATING and OVERSEEING THE WORK ACTIVITIES of others so that their activities are completed efficiently and effectively.

Answer 5

MANAGEMENT

Question 6

involves COORDINATING and OVERSEEING THE WORK ACTIVITIES of others so that their activities are completed efficiently and effectively.

Answer 6

MANAGEMENT

Question 7

is a decision-making process concerned with planning,
acquiring, and utilizing funds in a manner that achieves the firm’s desired
goals.

Answer 7

Financial management

Question 8

is to MAXIMIZE THE CURRENT VALUE PER SHARE of the existing stock or ownership in a business
firm

Answer 8

goal of financial management

Question 9

is also called as CASHING PER SHARING MAXIMIZATION. It leads to
maximize the business operation for profit maximization.

Answer 9

Profit maximization

Question 10

Is one of the MODERN APPROACHES, which involves latest innovations and improvements in the field of the business concern.

Answer 10

Wealth maximization

Question 11

Determines HOW SCARCE OR LIMITED RESOURCES in terms of funds of the business firms are committed to projects

Answer 11

Investment Decisions

Question 12

CONSIDERS THE COST OF FINANCE available in different forms and the risks attached to it.

Answer 12

Financing Decisions

Question 13

CONCERNED WITH THE DETERMINATION OF QUANTUM OF PROFITS to be distributed to the owners, the frequency
of such payments, and the amounts to be retained by the firm

Answer 13

Dividend Decisions

Question 14

CONCERNED WITH THE DETERMINATION OF QUANTUM OF PROFITS to be distributed to the owners, the frequency
of such payments, and the amounts to be retained by the firm

Answer 14

Dividend Decisions

Question 15

the SYSTEMATIC RECORDING OF TRANSACTIONS relating to the firm’s activities in the books of accounts and
summarizing the same for presentation in the financial statements

Answer 15

Accounting function

Question 16

Use FINANCIAL RATIOS FROM INFORMATION provided by the
financial statements

Answer 16

Financial Managers

Question 17

is the STUDY OF HOW SOCIETY MANAGES its scarce resources.

Answer 17

Economics

Question 18

deals with the economic decisions of INDIVIDUALS AND FIRMS.

Answer 18

Microeconomics

Question 19

looks at the ECONOMY AS A WHOLE in which a particular business is operating.

Answer 19

Macroeconomics

Question 20

is ONE OF THE MAJOR FUNCTIONAL AREAS of a business aside from marketing and manufacturing.

Answer 20

Finance

Question 21

is ONE OF THE MAJOR FUNCTIONAL AREAS of a business aside from marketing and manufacturing.

Answer 21

Finance

Question 22

DEALS with THE DESIGN AND PRODUCTION OF A PRODUCT. Marketing involves the selling, promotion and distribution of a product.

Answer 22

Manufacturing

Question 23

are CRITICAL FOR THE SURVIVAL OF A FIRM because these areas determine what will be produced and how these products will be
sold.

Answer 23

Manufacturing and marketing

Question 24

is the PROCESS OF MONITORING MANAGERS and aligning their
incentives with shareholder goals.

Answer 24

Corporate governance