What is financial capital?
E.19: How firms grow

Quiz
•
Business
•
12th Grade
•
Medium
Sheridan Kaatz
Used 2+ times
FREE Resource
16 questions
Show all answers
1.
MULTIPLE CHOICE QUESTION
30 sec • 1 pt
The physical buildings a company owns
The skills and knowledge of employees
Assets needed by a company to provide goods or services, typically money
The reputation of a company in the market
2.
MULTIPLE CHOICE QUESTION
30 sec • 1 pt
What is a horizontal merger?
Combining companies from unrelated industries
Combining companies that offer different kinds of goods/services
Combining companies that offer the same kinds of goods/services to the same types of customers
Combining companies at different stages of production
3.
MULTIPLE CHOICE QUESTION
30 sec • 1 pt
What is a vertical merger?
Combining companies that offer the same kinds of goods/services but at different stages of production
Combining companies that offer the same kinds of goods/services to the same types of customers
Combining companies that are geographically separated
Combining companies from unrelated industries
4.
MULTIPLE CHOICE QUESTION
30 sec • 1 pt
What is a conglomerate merger?
Combining companies that are competitors
Combining companies that share the same CEO
Combining companies from unrelated industries
Combining companies at different stages of production
5.
MULTIPLE CHOICE QUESTION
30 sec • 1 pt
Why might firms choose to reinvest their financial capital?
To liquidate assets
To fuel their growth
To reduce their workforce
To pay off existing debts
6.
MULTIPLE CHOICE QUESTION
30 sec • 1 pt
What is one reason for a horizontal merger?
To ensure a more reliable supply chain
To reduce competition and potentially raise prices
To diversify their revenue streams
To gain control over key inputs
7.
MULTIPLE CHOICE QUESTION
30 sec • 1 pt
What is one reason for a vertical merger?
To increase market power
To diversify product offerings
To ensure a more reliable supply chain
To merge with competitors
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