Reference no: EM132273529
1) You own a large company and would like to issue bonds for $12 million to pay for the construction of a new manufacturing facility. As a bond issuer, your company will need to ________.
Find someone who would like to pay $12 million for your bond.
Pay the interest and a portion of the principal balance to the bank each month for the duration of the bond term.
Pay interest payments annually and repay the entire $12 million at the end of the bond term.
2) Although money has no intrinsic value, it is demanded throughout society. Among the reasons that money is demanded are:
It is not easy to counterfeit.
It is divisible
it stores value.
3. Critics claim that all of the following are problematic results of globalization? EXCEPT:
A. Business growth
B. Personal stress
C. Consumption of nonrenewable natural resources
D. Threats to national sovereignty
E. Increases in environmental damage
4. Industries characterized by incumbent firms with high economies of scale typically attract more new entrants.
True or False
5. Which of the following is not an explanation for the existence of exit barriers?
A. specialized assets with no alternative use
B. governmental and social pressures
C. strategic interrelationships with other business units within the same company
D. excessive local profits