FINC600 Week 7 Practice Quiz
FINC600 Week 7 Practice Quiz Click Link Below To Buy: http://hwcampus.com/shop/finc600-week-7-practice-quiz/ Corporate Finance Week 7 Practice Quiz Part 1 of 1 - 12.0/ 15.0 Points Question 1 of 15 1.0/ 1.0 Points Assets are listed on the balance sheet in order of: I) Decreasing liquidity II) Decreasing size III) Increasing size IV) Relative life A.I only B.III and IV only C.II only D.IV only Question 2 of 15 0.0/ 1.0 Points The difference between Total Assets of a firm and its Total Liabilities is called. A.Net working capital B.Net current assets C.Net worth D.None of the above Question 3 of 15 1.0/ 1.0 Points The difference between Current Assets of a firm and its Current Liabilities is called. A.Net worth B.Net working capital C.Gross working capital D.None of the above Question 4 of 15 1.0/ 1.0 Points Which of the following is an example of leverage ratios? A.Debt-Equity ratio B.Quick ratio C.Payout ratio D.Return on equity Question 5 of 15 1.0/ 1.0 Points Which of the following is an example of liquidity ratios? A.Times interest earned (TIE) B.P/E ratio C.Return on equity D.Quick ratio Question 6 of 15 1.0/ 1.0 Points Given the following data: Current assets = 500 Current liabilities = 250 Inventory = 200 Account receivables = 200 Calculate the current ratio: A.2.0 B.1.0 C.1.5 D.None of the above Question 7 of 15 1.0/ 1.0 Points Given the following data: Sales = 3200 Cost of goods sold = 1600 Average total assets = 1600 Average inventory = 200 Calculate the asset turnover ratio: A.2.0 B.0.9375 C.1.33 D.None of the above Question 8 of 15 1.0/ 1.0 Points Efficiency ratios indicate: I) How productively is the firm utilizing its assets. II) How liquid is the firm. III) How profitable is the firm. IV) How highly is the firm valued by investors. A.I only B.II only C.III only D.III and IV only Question 9 of 15 0.0/ 1.0 Points Profitability ratios indicate: I) How productively is the firm utilizing its assets. II) How liquid is the firm. III) How profitable is the firm. IV) How highly is the firm valued by the investors. A.I only B.II only C.III only D.III and IV only Question 10 of 15 1.0/ 1.0 Points Given the following assets; I) Long-term assets II) Inventories III) Receivables IV) Marketable securities Which is the least liquid of these assets? A.I B.II C.III D.IV Question 11 of 15 1.0/ 1.0 Points Given the following data: Total current assets = $852 Total current liabilities = $406 Long-term debt = $442 Calculate the net working capital. A.$446 B.$852 C.$410 D.None of the above Question 12 of 15 1.0/ 1.0 Points The cash budget is the primary short-term financial planning tool. The key reasons a cash budget is created are: I) To estimate your investment in assets II) To estimate the size and timing of your new cash flows III) To prepare for potential financing needs A.I only B.II and III only C.II only D.III only Question 13 of 15 1.0/ 1.0 Points Net working capital is defined as: A.The current assets in a business B.The difference between current assets and current liabilities C.The present value of all short-term cash flows D.The difference between all assets and liabilities Question 14 of 15 1.0/ 1.0 Points Cash inflow in cash budgeting comes mainly from: A.Collection on accounts receivable B.Short-term debt C.Issue of securities D.None of the above Question 15 of 15 0.0/ 1.0 Points The firm's internal growth rate is defined as: A.retained earnings/net income B.retained earnings/net assets C.retained earnings/total assets D.none of the above
