Businaess Finance

Multiple Choice Questions 1. Profitability and solvency objectives in business argon: a. secondary to the objective of growth b. complementary objectives c. of primary impressiveness in most businesses. d. generally ignored by formal businesses. 2. As a companys prospects dislodge over time, the ratings of its outstanding bonds: a. would scarper to reduction if the companys ability to pay the principal and interest increases b. would scat to minify if the companys ability to pay the principal and interest decreases c. would never change once established d. would tend to decline in a serious recession which negatively impacted the companys prospects for hereafter profits 3. Favor sufficient pecuniary leverage doer that the: a. preferred sh beholders receive more requital per share than other than b. company has more accounts receiv subject than accounts payable c. company is able to pay its short-term debts d. common shareholders receive higher plu nder per share than otherwise 4. In preparing a statement of silver flows under the indirect method, a decrease in accounts receivable would be reported or embroild as a (n): a. investment activity b. financing activity c. deduction from net income d. appendix to net income 5. In the statement of cash flows, cash pay for operating activities would include: a. cash dividends paid b. interest on bonds payable c. repayment of a swear loan d.

corrupt of productive assets 6. Which statement is false? Ratios: a. are basically crystalline relationships b. can be based on any a single financial statement or several(prenominal) financial ! statements c. are never used in financial statement abstract d. can be used to perform heading compendium 7/8 Pizza Inc. sells uncooked pizzas that can be heated at home and taste delicious. An income statement for a typical month is given below: Sales [ 5,000 pizzas] $45,000 damage: Ingredients $12,000 Direct...If you want to get a full essay, order it on our website: BestEssayCheap.com

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