Busıness Fınance I

Yanıt Açıklaması: The flexibility of financial planning by the use of the capabilities of information technology enables to realize scenario analysis to evaluate the effects of the possible financial and environmental changes on corporate activities in the future. Therefore, the correct option is C.

Yanıt Açıklaması: The risk which can be diminished by diversification is called unsystematic risk because the source of the risk is not the market.

Yanıt Açıklaması: This is called worst case scenario. In such cases policies such as cost reduction or even liquidation, should be developed in response to such deterioration in the business environment.

Yanıt Açıklaması: Debt ratio shows the percentage of assets that is financed by creditors, and thus is an indication of the level of financial leverage used by the company. It is computes as follows : Debt Ratio : Total Liabilities / Total Assets The correct answer is C.

Yanıt Açıklaması: Stocks that provide all or almost all of their returns from dividend yield are referred to as income stocks.

Yanıt Açıklaması: Stocks that provide all or almost all of their returns from dividend yield are referred to as income stocks.

Yanıt Açıklaması: In industries producing capital or semicapital goods the ratio of working capital o fixed capial is relatively low. However, in industries producing consumption goods such as biscuits, the ratio of working capital to fixed capital would be relatively high.

Yanıt Açıklaması: Risk-free return is the rate of return that investors require to invest in risk free investments in that environment. The short term T-Bill rate is usually used to measure it. The Risk premium is the return in excess of the risk-free rate that investors require to compensate for the risk of an investment.

Yanıt Açıklaması: Beta is used to measure the risk level of securities in relation to the overall market. Beta values do not have a limit, they can range from negative infinity to positive infinity.