Which of the following capital budgeting evaluation techniques does NOT have an available Excel function? A) NPV B) IRR C) MIRR D) Excel contains each of these functions. ANSWER D
Date: September 19th, 2020
To determine the cash flow from operating activities, certain adjustments must be made which include A) Add back depreciation, amortization, and stock-based compensation expenses. B) Adjust for any changes in operating assets and liabilities. C) Add or subtract any changes in deferred income taxes. D) All of the above. ANSWER D
Date: September 19th, 2020
The shareholder receiving a stock dividend receives a share of common stock of equal value to their existing shares of common stock. Indicate whether the statement is true or false ANSWER FALSE
Date: September 19th, 2020
A firm purchased goods with a purchase price of $1,000 and credit terms of 1/10 net 30. The firm paid for these goods on the 5th day after the date of sale. The firm must pay ________ for the goods. A) $990 B) $900 C) $1,000 D) $1,100 ANSWER A
Date: September 19th, 2020
Which of the following is NOT a use of cash from financing activities? A) Repayment of long-term debt B) Proceeds from issuance of common stock C) Proceeds for long-term borrowing D) Both B and C ANSWER D
Date: September 19th, 2020
A firm with a beta of 1.0 and when held in a well-diversified portfolio should be considered to have ________ risk than the market portfolio. A) less B) neither more nor less C) more D) There is not enough information to answer this question. ANSWER B
Date: September 19th, 2020
One of the most common designations for the beginning of the credit period is ________. A) 2/10 B) the date of invoice C) the end of a quarter D) the transaction date ANSWER B
Date: September 19th, 2020
A shareholder receiving a stock dividend typically receives nothing of value. Indicate whether the statement is true or false ANSWER TRUE
Date: September 19th, 2020
The MIRR eliminates the following statements regarding the IRR and how it solves problems with the IRR is not accurate? A) The MIRR eliminates the problem of multiple IRRs. B) The MIRR eliminates the problem of the assumption of always reinvesting at the IRR. C) The MIRR eliminates the problem of arbitrarily choosing a required […]
Date: September 19th, 2020
Public corporations are NOT required to publish annual reports. Indicate whether the statement is true or false ANSWER FALSE
Date: September 19th, 2020
