FMVA Test with Questions and Answers

FMVA Test with Questions and Answers For 2022, your client is expecting a sales volume of 4.5 million units and an inflation rate of 4.0%. Calculate the total variable costs in US dollars for 2022. ANSWER $29.0 million. In terms of gross-profit, which of the following periods likely requires further investigation or analysis? ANSWER In terms of gross-profit, which of the following periods likely requires further investigation or analysis? Consider EBITDA as a percentage of Revenue. What is a possible reason for the observed EBITDA-margin in fiscal 2015? ANSWER An increase in sales commissions to boost sales volumes. What is the cost of goods sold primarily driven by for a given period? ANSWER Sales volume. Why would an increase in the company's days in A/P produce cash for a business? ANSWER The company is 'stretching its payables' and deferring a cash outflow. Why would an increase in a businesses' days in inventory consume cash? ANSWER The business is expending cash to build up its inventory levels. What is the Q2 2022 quarterly revenue amount implied by the accounts receivable balance and days in A/R? ANSWER $26.8 million.