Question 1

As the total loan balance decreases,a larger proportion is applied to interest and a smaller proportion is applied to principal.

Accepted Answer

A) True 
 B)False

Question 2

The IRR and ________ functions are used for capital budgeting purposes.

Accepted Answer

The answer of The IRR and ________ functions are used...

Question 3

A(n)________ can be used to assess a company's short-term viability and solvency.

Accepted Answer

statement

Question 4

By default,the PMT function returns a positive payment amount.

Accepted Answer

A) True 
 B)False

Question 5

The ________ method of depreciation calculates depreciation at the highest accelerated rate.

Accepted Answer

A) accumulated 
B) double declining-balance 
C) declining-balance 
D) straight-line 
A) accumulated 
B) double declining-balance 
C) declining-balance 
D) straight-line

Question 6

The ________ argument in the PMT function represents number of periods.

Accepted Answer

A) nper 
B) fv 
C) type 
D) rate 
A) nper 
B) fv 
C) type 
D) rate

Question 7

To calculate a monthly loan payment for a 30-year mortgage loan with a monthly rate of 4%,where A5 = 4%,you would enter ________ for the rate argument.

Accepted Answer

The answer of To calculate a monthly loan payment for...

Question 8

The series of values for the XNPV function must contain at least one positive and one negative value.

Accepted Answer

A) True 
 B)False

Question 9

Yield is the amount of annual interest,expressed as a percentage of the par value and determines how much investors will receive on their investment.

Accepted Answer

A) True 
 B)False

Question 10

The ________ function analyzes a series of cash flows that are not periodic.

Accepted Answer

A) NPV 
B) XNPV 
C) IRR 
D) XIRR 
A) NPV 
B) XNPV 
C) IRR 
D) XIRR

Question 11

When analyzing a loan a(n)________ can provide detailed information about payments,interest,and balances.

Accepted Answer

amortizati

Question 12

The CUMIPMT and CUMPRINC return a positive value by default.

Accepted Answer

A) True 
 B)False

Question 13

The ________ function calculates the amount of interest paid over a specific number of periods.

Accepted Answer

A) CUMIPMT 
B) PPMT 
C) IPMT 
D) CUMPRINC 
A) CUMIPMT 
B) PPMT 
C) IPMT 
D) CUMPRINC

Question 14

The type argument is used in the PMT function and is an optional argument.

Accepted Answer

A) True 
 B)False

Question 15

The NPV function can evaluate the value of an investment over time through incoming and outgoing cash flows.

Accepted Answer

A) True 
 B)False

Question 16

A depreciation schedule records all of the following EXCEPT ________.

Accepted Answer

A) accumulated depreciation 
B) calculation for each year's depreciation 
C) the date an asset was placed into service 
D) net book value 
A) accumulated depreciation 
B) calculation for each year's depreciation 
C) the date an asset was placed into service 
D) net book value

Question 17

Match between columns
                        Premises: Type
Nper
Rate
Fv
Pv

Accepted Answer

The Answer of Balance amount after last payment and The is...

Question 18

The PPMT and IPMT functions use the same syntax.

Accepted Answer

A) True 
 B)False

Question 19

All of the following statements are TRUE about investments EXCEPT:

Accepted Answer

A) A security is a legal document that can be bought and sold and holds some financial value. 
B) In terms of economic risk for stocks and bonds, stocks are typically considered less risky. 
C) Stocks are categorized as equity securities because the company gives partial ownership of its equity, defined as total assets minus total liabilities, by selling stock in the company. 
D) Bonds are categorized as debt securities because the company is indebted to the people who loan the company money through the purchase of bonds. 
A) A security is a legal document that can be bought and sold and holds some financial value. 
B) In terms of economic risk for stocks and bonds, stocks are typically considered less risky. 
C) Stocks are categorized as equity securities because the company gives partial ownership of its equity, defined as total assets minus total liabilities, by selling stock in the company. 
D) Bonds are categorized as debt securities because the company is indebted to the people who loan the company money through the purchase of bonds.

Question 20

All of the following statements are TRUE about amortization schedules EXCEPT:

Accepted Answer

A) All interest and principal paid should equal the sum of all the payments made. 
B) The final remaining balance value in your table should be zero. 
C) A given periodic payment will equal the sum of the interest payment (IPMT)and the principal payment (PPMT). 
D) The sum of the principal payments (PPMT)will always equal the loan amount. If you add interest it will be the total amount paid over the course of the loan term, both in interest and principal. 
A) All interest and principal paid should equal the sum of all the payments made. 
B) The final remaining balance value in your table should be zero. 
C) A given periodic payment will equal the sum of the interest payment (IPMT)and the principal payment (PPMT). 
D) The sum of the principal payments (PPMT)will always equal the loan amount. If you add interest it will be the total amount paid over the course of the loan term, both in interest and principal.

As the total loan balance decreases,a larger proportion is applied to interest and a smaller proportion is applied to principal.

The IRR and ________ functions are used for capital budgeting purposes.

A(n)________ can be used to assess a company's short-term viability and solvency.

By default,the PMT function returns a positive payment amount.

The ________ method of depreciation calculates depreciation at the highest accelerated rate.

The ________ argument in the PMT function represents number of periods.

To calculate a monthly loan payment for a 30-year mortgage loan with a monthly rate of 4%,where A5 = 4%,you would enter ________ for the rate argument.

The series of values for the XNPV function must contain at least one positive and one negative value.

Yield is the amount of annual interest,expressed as a percentage of the par value and determines how much investors will receive on their investment.

The ________ function analyzes a series of cash flows that are not periodic.

When analyzing a loan a(n)________ can provide detailed information about payments,interest,and balances.

The CUMIPMT and CUMPRINC return a positive value by default.

The ________ function calculates the amount of interest paid over a specific number of periods.

The type argument is used in the PMT function and is an optional argument.

The NPV function can evaluate the value of an investment over time through incoming and outgoing cash flows.

A depreciation schedule records all of the following EXCEPT ________.

The PPMT and IPMT functions use the same syntax.

All of the following statements are TRUE about investments EXCEPT:

All of the following statements are TRUE about amortization schedules EXCEPT:

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Exam 11: Loan Amortization, investment Analysis, and Asset Depreciation

As the total loan balance decreases,a larger proportion is applied to interest and a smaller proportion is applied to principal.

The IRR and ________ functions are used for capital budgeting purposes.

A(n)________ can be used to assess a company's short-term viability and solvency.

By default,the PMT function returns a positive payment amount.

The ________ method of depreciation calculates depreciation at the highest accelerated rate.

The ________ argument in the PMT function represents number of periods.

To calculate a monthly loan payment for a 30-year mortgage loan with a monthly rate of 4%,where A5 = 4%,you would enter ________ for the rate argument.

The series of values for the XNPV function must contain at least one positive and one negative value.

Yield is the amount of annual interest,expressed as a percentage of the par value and determines how much investors will receive on their investment.

The ________ function analyzes a series of cash flows that are not periodic.

When analyzing a loan a(n)________ can provide detailed information about payments,interest,and balances.

The CUMIPMT and CUMPRINC return a positive value by default.

The ________ function calculates the amount of interest paid over a specific number of periods.

The type argument is used in the PMT function and is an optional argument.

The NPV function can evaluate the value of an investment over time through incoming and outgoing cash flows.

A depreciation schedule records all of the following EXCEPT ________.

The PPMT and IPMT functions use the same syntax.

All of the following statements are TRUE about investments EXCEPT:

All of the following statements are TRUE about amortization schedules EXCEPT:

Navigate, manipulate, and Print Worksheets

Formatting, functions, and Formulas

Cell References, named Ranges, and Functions

Effective Charts

Complex Conditional and Retrieval Functions

Analyze Data Using Tables

Multiple Worksheets workbooks and Templates

Refine an Excel Application

Organize, import, export, and Cleanse Data Sets

Data Tables, scenario Manager, and Solver

Business Statistics and Regression Analysis

Excels Data Model, Power-pivot, and Power View

Visual Basic for Applications

Appendix:efficient Interaction With a Touch Screen

The Common Features of Microsoft Office

Filters