5 Written questions
5 Matching questions
- Other assets
- Statement of cash flows
- Cost of sales (COGS)
- Income statement
- Price-to-earnings ratio
- a a simple ratio that measures the price of a company's stock against its earnings.
- b reflects the results of the operations of a firm over a specified period of time.
- c includes all the direct costs associated with producing or delivering a product or service, including the material costs and direct labor.
- d summarizes the changes in a firm's cash position for a specified period of time and details why the change occurred.
- e miscellaneous assets, including accumulated goodwill.
5 Multiple choice questions
- include obligations that are payable within a year, including accounts payable, accrued expenses, and the current portion of long-term debt.
- a company's ability to meet its short-term financial obligations.
- depict relationships between items on a firm's financial statements, used to discern whether a firm is meeting its financial objectives and how it stacks up against its industry peers.
- point where total revenue received equals total costs associated with the output or sale of the product.
- a statistical technique used to find relationships between variables for the purpose of predicting future values.
5 True/False questions
Accounts receivable → represents the amount of liquid assets the firm has available.
Financial statement → deals with two activities: raising money and managing a company's finances in a way that achieves the highest rate of return .
Sales forecast → a projection of a firm's sales for a specified period.
Investing activities → include net income (or loss), depreciation, and changes in current assets and current liabilities other than cash and short-term debt.
Current ratio → equals the firm's current assets divided by its current liabilities, can tell us about the firm's ability to pay its short-term debts.