Based on the information in Table 4-1, the inventory turnover ratio is
Based on the information in Table 4-1, the inventory turnover ratio is A) 1.3 times. B) 2.5 times. C) 2.0 times. D) 2.9 times. ANSWER C
Date: September 19th, 2020
Based on the information in Table 4-1, the inventory turnover ratio is A) 1.3 times. B) 2.5 times. C) 2.0 times. D) 2.9 times. ANSWER C
Date: September 19th, 2020
Which of the following would NOT normally be considered a “flotation cost”? A) printing and engraving expenses B) dividends C) legal fees D) underwriter’s spread ANSWER B
Date: September 19th, 2020
A financial advisor tells you that you can make your child a millionaire if you just start saving early. You decide to put an equal amount each year into an investment account that earns 7.5% interest per year, starting on the day your child is born. How much would you need to invest each year […]
Date: September 19th, 2020
XYZ, Inc. would suffer serious financial consequences if either of its two major customers were shut down and could not purchase XYZ products. Which of the following types of consequential loss protection would provide protection against this exposure? A) leasehold interest B) extra expense C) marine insurance D) business income from dependent properties […]
Date: September 19th, 2020
The beta of a T-bill is zero. Indicate whether the statement is true or false ANSWER TRUE
Date: September 19th, 2020
The ability to identify the key industry drivers of success is a fundamental concept that a nonfinancial manager should understand in order to: A) better assess the current environment in which the firm operates. B) better assess future financing requirements. C) better understand the role of capital markets in raising long-term funds. D) better measure […]
Date: September 19th, 2020
A cash budget is often more valuable as a LONG-term rather than a SHORT-TERM financial forecasting vehicle. Indicate whether the statement is true or false ANSWER FALSE
Date: September 19th, 2020
Which of the following forms is used to insure buildings that are under construction? A) builders risk coverage form B) floor plan coverage form C) new construction coverage form D) labor and materials coverage form ANSWER Answer: A
Date: September 19th, 2020
Limited partnerships are not as prevalent as corporations because A) it is easier to transfer ownership by selling common stock than it is to sell partnership. B) limited partnerships have the disadvantage of double taxation. C) limited partners can lose up to three times the amount they invested in the partnership if the business goes […]
Date: September 19th, 2020
Creative Industries Inc is looking to finance a new project with either debt or equity. The firm anticipates that its breakeven EPS-EBIT point is when EBIT reaches $3,000,000. If the projected EBIT are $3,500,000 for the foreseeable future, then to maximize EPS the firm should issue: A) equity. B) debt C) preferred shares. D) a […]
Date: September 19th, 2020