On January 1, Year 1 you bought 100 shares of Oscorp Inc It is now January 1 of Year 2. You have recorded stock price information for Oscorp in the table, below. You want to calculate your return on the investment. After digging through your records you realize that Oscorp executed a 3-for-2 stock split […]
Date: September 19th, 2020
If a firm’s total asset turnover is low, but its fixed asset turnover is high, which of the following ratios should an analyst examine to locate the source of the problem? A) Debt/equity B) Price/earnings C) Return on equity D) Accounts receivable turnover E) Times interest earned ANSWER D
Date: September 19th, 2020
________ are costs associated with the consequences of running out of inventory. A) Reorder costs B) Opportunity costs C) Storage costs D) Shortage costs E) Carrying costs ANSWER D
Date: September 19th, 2020
On January 1, Year 1 you bought 100 shares of Cyberdyne Systems Inc It is now January 1 of Year 2. You have recorded stock price and dividend information for Cyberdyne in the table, below. You want to calculate your return on the investment. After digging through your records you realize that Cyberdyne executed a […]
Date: September 19th, 2020
Find accounts receivable turnover if a firm has an accounts receivable of $80,000, a total asset turnover of .75, and total assets of $230,000. A) 2.15 B) 3.8 C) 2.9 D) 1.5 E) .65 ANSWER A
Date: September 19th, 2020
Inventory carrying costs include all of the following EXCEPT A) storage costs. B) the cost of financing the inventory investment. C) the cost of taking trade discounts. D) insurance. E) damage and theft costs. ANSWER C
Date: September 19th, 2020
Each of the following is a factor that affects exchange rates EXCEPT: A) Domestic economy B) Supply and demand of currency C) Relative price of goods D) Returns on international investments in securities ANSWER A
Date: September 19th, 2020
If the U.S. dollar currently buys more Brazilian goods than the Brazilian real buys American goods, A) purchasing power parity holds at this moment. B) the real should appreciate. C) the dollar should appreciate. D) Brazilian prices should fall. E) U.S. prices should rise. ANSWER B
Date: September 19th, 2020
The quick ratio improves upon the current ratio by A) using more up-to-date information. B) simplifying the calculation. C) subtracting intangible assets like goodwill. D) recognizing that inventory is the current asset that is easiest to value. E) recognizing that inventory is the least liquid current asset. ANSWER E
Date: September 19th, 2020
________ exports can be caused by a(n) ________ currency, which can cause slower growth. A) Decreasing; appreciating B) Decreasing; depreciating C) Increasing; appreciating D) Increasing; depreciating ANSWER A
Date: September 19th, 2020
