1. How can a company improve its collection process on accounts receivable. Offer multiple suggestions with explanation.
2. If you were to set up an inventory management policy for a retailer, would you advocate keeping more or less inventory on hand? Explain your decision.
3. What are the pros and cons of using options to compensate employees?
4. Why would a company choose to use convertible bonds for financing rather than a straight bond?
5. What types of risks should shareholder wealth-maximizing managers seek to offset in a firm they are managing? Why?
6. How can patents, copyrights, and legal challenges be used to manage business risk?