Question 1

How quickly a company's inventory is sold and receivables are collected is referred to as which of the following?

Accepted Answer

A)  return on inventory 
B)  inventory turnover ratio 
C)  working capital cycle 
D)  inventory to cash ratio 
A)  return on inventory 
B)  inventory turnover ratio 
C)  working capital cycle 
D)  inventory to cash ratio

Question 2

On a statement of cash flows for a manufacturer of digital thermometers, the cash flows from investment activities section would include which of the following?

Accepted Answer

A)  the sale of land adjacent to the manufacturer's administrative office building 
B)  purchase of a new $25,000 copying machine 
C)  repayment of long-term loan by a wholesaler of weather-related items 
D)  the money borrowed from the bank to start the company 
A)  the sale of land adjacent to the manufacturer's administrative office building 
B)  purchase of a new $25,000 copying machine 
C)  repayment of long-term loan by a wholesaler of weather-related items 
D)  the money borrowed from the bank to start the company

Question 3

Which of the following is an example of a fixed asset for a manufacturer of road building equipment?

Accepted Answer

A)  patents held on a new type of asphalt 
B)  shipping area for finished goods and receiving area for component parts 
C)  computer cartridges 
D)  cans of yellow paint for painting equipment 
A)  patents held on a new type of asphalt 
B)  shipping area for finished goods and receiving area for component parts 
C)  computer cartridges 
D)  cans of yellow paint for painting equipment

Question 4

Retained earnings are the amounts left over from profitable operations since the company's beginning. They are equal to total profits minus all dividends paid to shareholders.

Accepted Answer

A) True 
 B)False

Question 5

The value that has been paid for a company that exceeds the value of its net tangible assets is known as goodwill.

Accepted Answer

A) True 
 B)False

Question 6

What does triple bottom line refer to?

Accepted Answer

an accounting framework that t

Question 7

Which of the following summarizes an organization's financial status at the end of an accounting period?

Accepted Answer

A)  cash flow statement 
B)  balance sheet 
C)  trial balance 
D)  income statement 
A)  cash flow statement 
B)  balance sheet 
C)  trial balance 
D)  income statement

Question 8

The net profit for a company that builds portable oil well exploration rigs was $10 million last year. The company paid out $4 million in dividends and has 2 million shares of common share outstanding. What are its earnings per share?

Accepted Answer

A)  $2.50 
B)  $3.00 
C)  $4 
D)  $5 
A)  $2.50 
B)  $3.00 
C)  $4 
D)  $5

Question 9

Which of the following is the company's ability to expense fixed assets over their useful life?

Accepted Answer

A)  capital budgeting 
B)  depreciation 
C)  acceleration 
D)  assetization 
A)  capital budgeting 
B)  depreciation 
C)  acceleration 
D)  assetization

Question 10

What is another term for an operating statement or an earnings statement?

Accepted Answer

A)  cash flow statement 
B)  income statement 
C)  balance sheet 
D)  transaction ledger 
A)  cash flow statement 
B)  income statement 
C)  balance sheet 
D)  transaction ledger

Question 11

The total expense of buying or producing the company's goods or services is known as which of the following?

Accepted Answer

A)  inventory allotment 
B)  materials expense 
C)  cost of goods sold 
D)  manufacturing costs 
A)  inventory allotment 
B)  materials expense 
C)  cost of goods sold 
D)  manufacturing costs

Question 12

Which of the following is NOT one of the three main measures of liquidity?

Accepted Answer

A)  activity ratio 
B)  acid-test ratio 
C)  net working capital 
D)  current ratio 
A)  activity ratio 
B)  acid-test ratio 
C)  net working capital 
D)  current ratio

Question 13

What is the ratio of net annual credit sales to average accounts receivable (which measures the speed with which customers pay what they owe to the company)?

Accepted Answer

A)  sales liquidity ratio 
B)  sales to cash ratio 
C)  bad debt expenses ratio 
D)  accounts receivable turnover ratio 
A)  sales liquidity ratio 
B)  sales to cash ratio 
C)  bad debt expenses ratio 
D)  accounts receivable turnover ratio

Question 14

Triple bottom line is an accounting framework that that not only includes financial information but also accounts for environmental and social impacts.

Accepted Answer

A) True 
 B)False

Question 15

The Kosov School teaches adults how to communicate in a foreign language in a period of weeks. The school's debt-to-equity ratio is 120 percent. Which of the following interpretations is represented by the ratio?

Accepted Answer

A)  The school has surplus retained earnings. 
B)  The school is very liquid. 
C)  The school has more debt than equity. 
D)  The school has high accrued expenses. 
A)  The school has surplus retained earnings. 
B)  The school is very liquid. 
C)  The school has more debt than equity. 
D)  The school has high accrued expenses.

Question 16

What is accounting?

Accepted Answer

the process of collecting, rec

How quickly a company's inventory is sold and receivables are collected is referred to as which of the following?

On a statement of cash flows for a manufacturer of digital thermometers, the cash flows from investment activities section would include which of the following?

Which of the following is an example of a fixed asset for a manufacturer of road building equipment?

Retained earnings are the amounts left over from profitable operations since the company's beginning. They are equal to total profits minus all dividends paid to shareholders.

The value that has been paid for a company that exceeds the value of its net tangible assets is known as goodwill.

What does triple bottom line refer to?

Which of the following summarizes an organization's financial status at the end of an accounting period?

The net profit for a company that builds portable oil well exploration rigs was $10 million last year. The company paid out $4 million in dividends and has 2 million shares of common share outstanding. What are its earnings per share?

Which of the following is the company's ability to expense fixed assets over their useful life?

What is another term for an operating statement or an earnings statement?

The total expense of buying or producing the company's goods or services is known as which of the following?

Which of the following is NOT one of the three main measures of liquidity?

What is the ratio of net annual credit sales to average accounts receivable (which measures the speed with which customers pay what they owe to the company)?

Triple bottom line is an accounting framework that that not only includes financial information but also accounts for environmental and social impacts.

The Kosov School teaches adults how to communicate in a foreign language in a period of weeks. The school's debt-to-equity ratio is 120 percent. Which of the following interpretations is represented by the ratio?

What is accounting?

Political Environment

Economic Environment

Social Environment

Technological Environment

International Environment

Entrepreneurship and Small Business

Understanding the Business

Forms of Business Ownership

Management and Leadership in Today’s Organizations

Designing Organizational Structures

Motivating Employees

Managing Human Resources and Labour Relations

Marketing

Creating Marketing Strategies

Achieving World-class Operations Management

Understanding Money and the Canadian Financial System

Finance

Filters

Exam 16: Accounting for Financial Success

How quickly a company's inventory is sold and receivables are collected is referred to as which of the following?

On a statement of cash flows for a manufacturer of digital thermometers, the cash flows from investment activities section would include which of the following?

Which of the following is an example of a fixed asset for a manufacturer of road building equipment?

Retained earnings are the amounts left over from profitable operations since the company's beginning. They are equal to total profits minus all dividends paid to shareholders.

The value that has been paid for a company that exceeds the value of its net tangible assets is known as goodwill.

What does triple bottom line refer to?

Which of the following summarizes an organization's financial status at the end of an accounting period?

The net profit for a company that builds portable oil well exploration rigs was $10 million last year. The company paid out $4 million in dividends and has 2 million shares of common share outstanding. What are its earnings per share?

Which of the following is the company's ability to expense fixed assets over their useful life?

What is another term for an operating statement or an earnings statement?

The total expense of buying or producing the company's goods or services is known as which of the following?

Which of the following is NOT one of the three main measures of liquidity?

What is the ratio of net annual credit sales to average accounts receivable (which measures the speed with which customers pay what they owe to the company)?

Triple bottom line is an accounting framework that that not only includes financial information but also accounts for environmental and social impacts.

The Kosov School teaches adults how to communicate in a foreign language in a period of weeks. The school's debt-to-equity ratio is 120 percent. Which of the following interpretations is represented by the ratio?

What is accounting?

Political Environment

Economic Environment

Social Environment

Technological Environment

International Environment

Entrepreneurship and Small Business

Understanding the Business

Forms of Business Ownership

Management and Leadership in Today’s Organizations

Designing Organizational Structures

Motivating Employees

Managing Human Resources and Labour Relations

Marketing

Creating Marketing Strategies

Achieving World-class Operations Management

Understanding Money and the Canadian Financial System

Finance

Filters