Exam (elaborations)
FIN2601 Assignment 1 Semester 2 2024
- Institution
- University Of South Africa
FIN2601 Assignment 1 Semester 2 2024 QUESTIONS WITH ANSWERS
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By: mpmgcina • 2 months ago
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FIN2601 Assignment 1Semester 2 2024
QUESTIONS WITH COMPLETE ANSWERS
[School]
[Course title]
, FIN2601 Assignment 1 Semester 2 2024
Question 1
Which of the following statements are correct if a company focuses on profits as financial goal?
a) Risk is ignored.
b) The share price is ignored.
c) The size of the investment required to generate the profit is ignored.
1. a and b
2. c and a
3. b and c
4. a, b and c
Question 2
Which one of the following best describes a capital market?
1. A financial relationship created by institutions and arrangements that allow suppliers and
demanders of short-term funds to make transactions.
2. An intangible market for the purchase and sale of securities not listed on organised exchanges.
3. A market that allocates funds to their most productive uses as a result of competition among
wealth-maximising investors.
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