Morgan's Transition Morgan Is Currently a Manager of a Small Financial Planning

question 70

Multiple Choice

Morgan's Transition
Morgan is currently a manager of a small financial planning firm. He is seeking a new career with a large corporation in the banking industry. He recently applied for the financial manager opening at G & T Bank. He is concerned that the transition from his small firm to a large corporation will be difficult. To better prepare himself for this change, he has decided to enroll in a few business classes to strengthen his understanding of corporate finance. The business classes have proven to be a valuable tool for learning the critical skills needed to fully understand a financial plan, equity financing, and debt financing. Morgan now believes he has strengthened his competitive advantage in his quest for the job.
-Refer to Morgan's Transition. During his job interview, Morgan was asked to talk about money received from the owners or from the sale of shares of ownership in a business. Which of the following would best describe these funds?

• A) Debt capital
• B) Equity capital
• C) Proceeds from a merger or acquisition
• D) Proceeds from the sale of assets
• E) Sales revenue

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Definitions:

Kinship System

The social relationships that define and structure family connections among people, including duties, rights, and roles.

Clan System

A social structure used to organize families into larger groups sharing common ancestry and cultural traditions.

Ambilineal Descent

A form of descent in which individuals may inherit some family traits, affiliations, or belongings through either the maternal or paternal line, as selected by the individual, group, or society.

Bilateral Descent

A system of family lineage in which kinship and inheritance are traced through both parents' lines.