DW Business Finance Final Exam Review

Front

When a company issues stock to raise capital, this is a form of equity financing.

Back

True

Front

Which of the following is NOT a way identity thieves commonly obtain personal information? Options: Phishing emails asking for sensitive information, Browsing through unsecured Wi-Fi networks, Dumpster diving for discarded documents, Donating to legitimate organizations

Back

Donating to legitimate organizations

Front

Which of the following is a recommended way to protect your personal data online? Options: Using the same password for all accounts, Sharing your passwords with trusted friends, Setting strong, unique passwords and enabling two-factor authentication, Avoiding updates for apps and devices

Back

Setting strong, unique passwords and enabling two-factor authentication

Front

Social Security, Medicare, Unemployment, and Worker's Compensation are all federally mandated insurance programs.

Back

True

Front

When a company issues stock for the first time, this is called an Initial Public Offering or IPO.

Back

True

Front

Which stock is an equity security representing ownership in a corporation with voting rights?

Back

Common stock

Front

Stocks and bonds are resold, or traded, in the primary market, and a company's IPO is sold in the secondary market.

Back

False

Front

The annual interest rate paid on a bond is called the ___________?

Back

coupon rate

Front

An Investment Banker does all of the following EXCEPT: Pay off the company's debts during bankruptcy, Give advice to the issuing company, Help the company through the underwriting process

Back

Pay off the company's debts during bankruptcy

Front

Complete the formula: Annual Coupon Payment / Current Market Value =

Back

current yield