1. Question: The _______________ is a measure of a firm's ability to control the level of costs, or expenses, relative to sales.

    A
    Asset Turnover

    B
    Profit Margin Ratio

    C
    Times Interest Earned

    D
    Inventory Turnover

    Note: Answer not sure
    1. Report
  2. Question: The _______________ provides a measure of the sales generated for each dollar invested in fixed assets.

    A
    Inventory Turnove

    B
    Cash Flow

    C
    Fixed Asset Turnover Ratio

    D
    Gross Income

    Note: Answer not sure
    1. Report
  3. Question: Comparisons of a given firm's ratios with those of other firms for a particular period is referred to as ____________________.

    A
    Times-Series Analysis

    B
    Defensive Interval Analysis

    C
    Cross-Section Analysis

    D
    None of these

    Note: Answer not sure
    1. Report
  4. Question: The ______________ is computed by dividing net income attributable to common stock by the average number of common shares outstanding during the period.

    A
    Quick Ratio

    B
    Asset Turnover

    C
    Earnings Per Share

    D
    Retained Earnings

    Note: Answer not sure
    1. Report
  5. Question: If a company's rate of return on assets is 20 percent and the profit margin percentage is 5 percent, the company's total assets turnover must be which of the following?

    A
    1

    B
    4

    C
    5

    D
    20

    Note: Answer not sure
    1. Report
  6. Question: During the year, XYZ Company sold one of its warehouses for $250,000 cash. This transaction is an example of which of the following?

    A
    An investing activity

    B
    A financing activity

    C
    An operating activity

    D
    None of these

    Note: Answer not sure
    1. Report
  7. Question: Which of the following transactions does NOT result in an inflow of cash?

    A
    Sale of surplus equipment

    B
    Issuance of common stock

    C
    Distribution of dividends to shareholders

    D
    Issuance of long-term debt

    Note: Answer not sure
    1. Report
  8. Question: Which of the following ratios would NOT be used to assess a firm's long-term liquidity risk?

    A
    Debt-Equity ratio

    B
    Long-Term Debt ratio

    C
    Interest Coverage ratio

    D
    Current Ratio

    Note: Answer not sure
    1. Report
  9. Question: When an auditor feels that an opinion cannot be expressed as to the fairness of a company's financial statements as a whole, he issues a/an ________________ .

    A
    qualified opinion

    B
    agreed opinion

    C
    unqualified opinion

    D
    adverse opinion

    Note: Answer not sure
    1. Report
  10. Question: Which of the following does NOT describe an expense?

    A
    Dividends paid to shareholders

    B
    Cost of merchandise sold

    C
    Salaries earned by employees but not yet paid

    D
    Depreciation of the firm's building for the particular period

    Note: Answer not sure
    1. Report
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