Financial Management
1.Discuss three main organizational forms used in forming a business.
Your response should be at least 75 words in length.Cited
2.Explain what a firm’s goal is from both a shareholder and stakeholder approach.
Your response should be at least 75 words in length.Cited
3.Review how managers responding to incentives may result in an agency problem.
Your response should be at least 75 words in length.Cited
4.Describe three questions that studying finance addresses.
Your response should be at least 75 words in length.Cited
5.Explain the idea behind why investors respond to a risk-return tradeoff based on expected returns.
Your response should be at least 75 words in length.Cited
Chapter 1: Getting Started – Principles of Finance
Chapter 2: Firms and the Financial Market
Titman, S., Keown, A. J., & Martin J. D. (2014). Financial management: Principles and applications (12th ed.). Upper Saddle River, NJ: Pearson.
Answer Preview
The three forms of business ownership are Sole Proprietorship, Partnership, and Company. In a sole proprietorship, the owner is solely responsible and owns all the assets of the business. Consequently, he is not limited to any debts that might be incurred in the business and enjoys either profit and losses alone. Partnership, unlike sole proprietorship, has more than one…
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