Department-Specific (Finance)

Advance your financial vocabulary skills by mastering key terms used by finance departments, including cost-benefit analysis, ROI, dividends, asset allocation, and more. Essential practice for finance professionals and business students.

Vocabulary Review(7 terms)

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Exercises:

Exercise 1Multiple Choice

Choose the correct option for each gap.
1

What financial term refers to evaluating the advantages and costs of a potential investment?

2

A collection of diverse investments held by an investor is called a:

3

Spending on acquiring or maintaining long-term business assets refers to:

4

The measure used to evaluate profitability of an investment is:

5

Identifying and analyzing possible risks in a business decision is called:

6

Distributing investments across different asset types to balance risks is known as:

7

Payments distributed by companies to their shareholders are called:

8

'We need a detailed ______ before approving the project.'

9

When someone has stocks, bonds, and real estate, these collectively form their:

10

Purchasing new factory equipment is categorized as:

11

Profits returned to shareholders from company earnings describe a:

12

Evaluating potential problems before investing is best described by:

13

To strategically divide investments among various markets is:

14

The financial return measured as net profit divided by investment cost is called:

15

A company's regular payment to shareholders is its:

16

Evaluating if benefits outweigh expenses before project approval involves a:

17

A strategic approach to investing in various assets based on financial goals refers to:

18

A company's spending on new buildings or machinery is termed as:

19

Identifying financial risks before decision-making is known as performing a:

20

Ensuring investments are spread across multiple asset classes describes:

Exercises: