Name the decision

Exercise and reference answers

Questions

1. Question

   Should we buy a new machine?

   Choices

   1. Investment
   2. Financing
   3. Dividend

   Correct choice

   Investment

2. Question

   Should we raise a loan or issue shares?

   Choices

   1. Investment
   2. Financing
   3. Dividend

   Correct choice

   Financing

3. Question

   How much profit should we pay out?

   Choices

   1. Investment
   2. Financing
   3. Dividend

   Correct choice

   Dividend

4. Question

   How much cash should we hold?

   Choices

   1. Working capital
   2. Dividend
   3. Financing

   Correct choice

   Working capital

Instructions

Tap the decision each case belongs to.

Explanation