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NEW QUESTION: 1
When managing cash and short-term investments, a corporate treasurer is primarily concerned with:
A. Investing in government bonds since they have no default risk.
B. Minimizing taxes.
C. Liquidity and safety.
D. Maximizing rate of return.
Answer: C
Explanation:
Cash and short-term investments are crucial to an entity's continuing success. Sufficient liquidity must be available to meet payments as they come due. At the same time, liquid assets are subject to significant control risk. Therefore, liquidity and safety are the primary concerns of the treasurer when dealing with highly liquid assets. Cash and short term investments are held because of their ability to facilitate routine operations of the entity.
These assets are not held for purposes of achieving investment returns.
NEW QUESTION: 2
A. --purge
B. -remove
C. --clean
D. --delete
Answer: A
NEW QUESTION: 3
Refer to the exhibit.
You are asked to write a report on how specific variables impact your client's sales using a data set provided to you by the client. The data includes 15 variables that the client views as directly related to sales, and you are restricted to these variables only.
After a preliminary analysis of the data, the following findings were made:
1.Multicollinearity is not an issue among the variables
2.Only three variables-A, B, and C-have significant correlation with sales
You build a linear regression model on the dependent variable of sales with the independent variables of A, B, and C. The results of the regression are seen in the exhibit.
Which interpretation is supported by the analysis?
A. Due to the R2 of 0.10,the model is not valid - the linear regression should be re-run with all 15 variables forced into the model to increase the R2
B. Variables A,B,and C are significantly impacting sales and are effectively estimating sales
C. Variables A,B,and C are significantly impacting sales,but are not effectively estimating sales
D. Due to the R2 of 0.10,the model is not valid - a different analytical model should be attempted
Answer: C