Question 1

Horizontal analysis of financial statements may be accomplished through:

Accepted Answer

A)  placing statement items on an after-tax basis. 
B)  computing net income as a percentage of sales. 
C)  computing both earnings per share and the price-earnings ratio. 
D)  trend percentages. 
A)  placing statement items on an after-tax basis. 
B)  computing net income as a percentage of sales. 
C)  computing both earnings per share and the price-earnings ratio. 
D)  trend percentages.

Question 2

Ben Company has the following data for the year just ended:   Ben Company's current liabilities were:

Accepted Answer

A)  $35,000. 
B)  $43,750. 
C)  $50,400. 
D)  $63,000. 
A)  $35,000. 
B)  $43,750. 
C)  $50,400. 
D)  $63,000.

Question 3

Financial statements for Quade Company appear below:

Accepted Answer

@#IMG-DLM& 
 @#IMG-DLM& 
Dividends during 20 × 6 totalled $2

Question 4

Condensed financial statements of Miller Company at the beginning and at the end of the current year are given below:

Accepted Answer

@#IMG-DLM& 
The company paid total dividends of $1

Question 5

Trend percentages state several years' financial data in terms of a base year.For example,sales for every year would be stated as a percentage of the sales in the base year.

Accepted Answer

A) True 
 B)False

Question 6

Calculate the receivable turnover for 20 × 4

Accepted Answer

$450,000/[

Question 7

Last year Jabber Company had a net income of $180,000,income tax expense of $62,000,and interest expense of $20,000.The company's times interest earned was closest to:

Accepted Answer

A)  4.90 times. 
B)  9.00 times. 
C)  10.00 times. 
D)  13.10 times. 
A)  4.90 times. 
B)  9.00 times. 
C)  10.00 times. 
D)  13.10 times.

Question 8

Lisa Inc.'s book value per share of common stock at December 31,20 × 7,was closest to:

Accepted Answer

A)  $10.00. 
B)  $11.25. 
C)  $19.33. 
D)  $18.33. 
A)  $10.00. 
B)  $11.25. 
C)  $19.33. 
D)  $18.33.

Question 9

Harton Company,a retailer,had cost of goods sold of $250,000 last year.The beginning inventory balance was $20,000 and the ending inventory balance was $22,000.The company's inventory turnover was closest to:

Accepted Answer

A)  5.95 times. 
B)  11.36 times. 
C)  11.90 times. 
D)  12.50 times. 
A)  5.95 times. 
B)  11.36 times. 
C)  11.90 times. 
D)  12.50 times.

Question 10

Calculate the return on total assets for 20 × 4

Accepted Answer

Interest:70,000x 10% x .7 = $4

Question 11

Which of the following is not a source of financial leverage?

Accepted Answer

A)  Bonds payable. 
B)  Accounts payable. 
C)  Preferred shares. 
D)  Retained earnings. 
A)  Bonds payable. 
B)  Accounts payable. 
C)  Preferred shares. 
D)  Retained earnings.

Question 12

Larosa Company's return on total assets for 20 × 6 was closest to:

Accepted Answer

A)  7.6%. 
B)  8.7%. 
C)  9.2%. 
D)  9.9%. 
A)  7.6%. 
B)  8.7%. 
C)  9.2%. 
D)  9.9%.

Question 13

Harris Company,a retailer,had cost of goods sold of $290,000 last year.The beginning inventory balance was $26,000 and the ending inventory balance was $24,000.The company's inventory turnover was closest to:

Accepted Answer

A)  5.80 times. 
B)  11.15 times. 
C)  11.60 times. 
D)  12.08 times. 
A)  5.80 times. 
B)  11.15 times. 
C)  11.60 times. 
D)  12.08 times.

Question 14

Karma Company has total assets of $190,000 and total liabilities of $90,000.The company's debt-to-equity ratio is closest to:

Accepted Answer

A)  0.32 to 1. 
B)  .047 to 1. 
C)  0.53 to 1. 
D)  0.90 to 1. 
A)  0.32 to 1. 
B)  .047 to 1. 
C)  0.53 to 1. 
D)  0.90 to 1.

Question 15

Oratz Company's return on total assets for 20 × 6 was closest to:

Accepted Answer

A)  8.9%. 
B)  10.0%. 
C)  10.5%. 
D)  11.1%. 
A)  8.9%. 
B)  10.0%. 
C)  10.5%. 
D)  11.1%.

Question 16

Larned Company's dividend yield ratio on December 31,20 × 6 was closest to:

Accepted Answer

A)  5.5%. 
B)  8.3%. 
C)  8.7%. 
D)  9.1%. 
A)  5.5%. 
B)  8.3%. 
C)  8.7%. 
D)  9.1%.

Question 17

Orange Company's times interest earned for 20 × 6 was closest to:

Accepted Answer

A)  11.2 times. 
B)  16.0 times. 
C)  17.0 times. 
D)  28.3 times. 
A)  11.2 times. 
B)  16.0 times. 
C)  17.0 times. 
D)  28.3 times.

Question 18

Krakov Company has total assets of $170,000 and total liabilities of $80,000.The company's debt-to-equity ratio is closest to:

Accepted Answer

A)  0.32 to 1. 
B)  0.47 to 1. 
C)  0.53 to 1. 
D)  0.89 to 1. 
A)  0.32 to 1. 
B)  0.47 to 1. 
C)  0.53 to 1. 
D)  0.89 to 1.

Question 19

Narita Company's debt-to-equity ratio at the end of 20 × 6 was closest to:

Accepted Answer

A)  0.17 to 1. 
B)  0.25 to 1. 
C)  0.42 to 1. 
D)  0.58 to 1. 
A)  0.17 to 1. 
B)  0.25 to 1. 
C)  0.42 to 1. 
D)  0.58 to 1.

Question 20

Brawer Company's net income last year was $55,000 and its interest expense was $20,000.Total assets at the beginning of the year were $660,000 and total assets at the end of the year were $620,000.The company's income tax rate was 30%.The company's return on total assets for the year was closest to:

Accepted Answer

A)  8.6%. 
B)  9.5%. 
C)  10.8%. 
D)  11.7%. 
A)  8.6%. 
B)  9.5%. 
C)  10.8%. 
D)  11.7%.

Horizontal analysis of financial statements may be accomplished through:

Ben Company has the following data for the year just ended: Ben Company's current liabilities were:

Financial statements for Quade Company appear below:

Condensed financial statements of Miller Company at the beginning and at the end of the current year are given below:

Trend percentages state several years' financial data in terms of a base year.For example,sales for every year would be stated as a percentage of the sales in the base year.

Calculate the receivable turnover for 20 × 4

Last year Jabber Company had a net income of $180,000,income tax expense of $62,000,and interest expense of $20,000.The company's times interest earned was closest to:

Lisa Inc.'s book value per share of common stock at December 31,20 × 7,was closest to:

Harton Company,a retailer,had cost of goods sold of $250,000 last year.The beginning inventory balance was $20,000 and the ending inventory balance was $22,000.The company's inventory turnover was closest to:

Calculate the return on total assets for 20 × 4

Which of the following is not a source of financial leverage?

Larosa Company's return on total assets for 20 × 6 was closest to:

Harris Company,a retailer,had cost of goods sold of $290,000 last year.The beginning inventory balance was $26,000 and the ending inventory balance was $24,000.The company's inventory turnover was closest to:

Karma Company has total assets of $190,000 and total liabilities of $90,000.The company's debt-to-equity ratio is closest to:

Oratz Company's return on total assets for 20 × 6 was closest to:

Larned Company's dividend yield ratio on December 31,20 × 6 was closest to:

Orange Company's times interest earned for 20 × 6 was closest to:

Krakov Company has total assets of $170,000 and total liabilities of $80,000.The company's debt-to-equity ratio is closest to:

Narita Company's debt-to-equity ratio at the end of 20 × 6 was closest to:

Brawer Company's net income last year was $55,000 and its interest expense was $20,000.Total assets at the beginning of the year were $660,000 and total assets at the end of the year were $620,000.The company's income tax rate was 30%.The company's return on total assets for the year was closest to:

An Introduction to Managerial Accounting and Cost Concepts

Systems Design: Job-Order Costing

Systems Design: Activity-Based Costing

Systems Design: Process Costing

Cost Behavior: Analysis and Use

Cost-Volume-Profit Relationships

Profit Planning

Standard Costs

Flexible Budgets and Overhead Analysis

Decentralization

Relevant Costs for Decision Making

Capital Budgeting Decisions

How Well Am I Doing Financial Statement Analysis

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Exam 13: How Well Am I Doing Statement of Cash Flows

Horizontal analysis of financial statements may be accomplished through:

Ben Company has the following data for the year just ended: Ben Company's current liabilities were:

Financial statements for Quade Company appear below:

Condensed financial statements of Miller Company at the beginning and at the end of the current year are given below:

Trend percentages state several years' financial data in terms of a base year.For example,sales for every year would be stated as a percentage of the sales in the base year.

Calculate the receivable turnover for 20 × 4

Last year Jabber Company had a net income of $180,000,income tax expense of $62,000,and interest expense of $20,000.The company's times interest earned was closest to:

Lisa Inc.'s book value per share of common stock at December 31,20 × 7,was closest to:

Harton Company,a retailer,had cost of goods sold of $250,000 last year.The beginning inventory balance was $20,000 and the ending inventory balance was $22,000.The company's inventory turnover was closest to:

Calculate the return on total assets for 20 × 4

Which of the following is not a source of financial leverage?

Larosa Company's return on total assets for 20 × 6 was closest to:

Harris Company,a retailer,had cost of goods sold of $290,000 last year.The beginning inventory balance was $26,000 and the ending inventory balance was $24,000.The company's inventory turnover was closest to:

Karma Company has total assets of $190,000 and total liabilities of $90,000.The company's debt-to-equity ratio is closest to:

Oratz Company's return on total assets for 20 × 6 was closest to:

Larned Company's dividend yield ratio on December 31,20 × 6 was closest to:

Orange Company's times interest earned for 20 × 6 was closest to:

Krakov Company has total assets of $170,000 and total liabilities of $80,000.The company's debt-to-equity ratio is closest to:

Narita Company's debt-to-equity ratio at the end of 20 × 6 was closest to:

An Introduction to Managerial Accounting and Cost Concepts

Systems Design: Job-Order Costing

Systems Design: Activity-Based Costing

Systems Design: Process Costing

Cost Behavior: Analysis and Use

Cost-Volume-Profit Relationships

Profit Planning

Standard Costs

Flexible Budgets and Overhead Analysis

Decentralization

Relevant Costs for Decision Making

Capital Budgeting Decisions

How Well Am I Doing Financial Statement Analysis

Filters