AGBM 106 Exam 2 Quizzes || 100% Exact Answers.
A constant payment loan is negotiated. The loan is for $100,000, the annual interest rate is 10%.
The loan is for 10 years with one payment per year. What is the annual payment on this loan?
correct answers $16,274.54
The lower the current ratio the more liquid the business. correct answers False
A constant payment loan is negotiated. The loan is for $100,000, the annual interest rate is 10%.
The loan is for 10 years with 12 payments per year. What is the monthly payment on this loan?
correct answers $1,321.51
Imagine it is 12/31/2025 and a farm is completing its 2025 balance sheet. What is the farm's
current portion of term debt? correct answers the amount of principal to be paid on long term
loans in 2026
A dairy cow is purchased for $2,000. Assume the cow is considered a 5 year asset and has a
salvage value of $500. What is the cost value of the cow at the end of year 3? correct answers
$1,100
The higher the debt to asset ratio the more solvent the farm. correct answers False
A farm has total A of $100 and total D of $60. What is owner equity? correct answers $40
A farm truck is purchased for $50,000. Assume the truck is a 5 year asset and has a salvage value
of $10,000. What is the annual depreciation expense of this truck? correct answers $8,000
A farm has total A of $100 and total D of $60. What is the debt to asset ratio? correct answers
0.60
A farm has current assets valued at $10, non current assets valued at $100, and owner equity of
$100. What is total D for this farm? correct answers $10
Quiz 6 correct answers Quiz 6
What is the correct numerator for ROA? correct answers total interest expense + net income
from operations
How is total interest expense calculated? correct answers cash interest paid + change in accrued
interest
OWNERS PREFER ROE > ROA > 0 correct answers True
Ted has collected corn inventories by month for the USA over the past twelve years. Ted would
like to make a pivot table that shows average corn inventory by month. What variable should be
used for COLUMN? correct answers Month
A constant payment loan is negotiated. The loan is for $100,000, the annual interest rate is 10%.
The loan is for 10 years with one payment per year. What is the annual payment on this loan?
correct answers $16,274.54
The lower the current ratio the more liquid the business. correct answers False
A constant payment loan is negotiated. The loan is for $100,000, the annual interest rate is 10%.
The loan is for 10 years with 12 payments per year. What is the monthly payment on this loan?
correct answers $1,321.51
Imagine it is 12/31/2025 and a farm is completing its 2025 balance sheet. What is the farm's
current portion of term debt? correct answers the amount of principal to be paid on long term
loans in 2026
A dairy cow is purchased for $2,000. Assume the cow is considered a 5 year asset and has a
salvage value of $500. What is the cost value of the cow at the end of year 3? correct answers
$1,100
The higher the debt to asset ratio the more solvent the farm. correct answers False
A farm has total A of $100 and total D of $60. What is owner equity? correct answers $40
A farm truck is purchased for $50,000. Assume the truck is a 5 year asset and has a salvage value
of $10,000. What is the annual depreciation expense of this truck? correct answers $8,000
A farm has total A of $100 and total D of $60. What is the debt to asset ratio? correct answers
0.60
A farm has current assets valued at $10, non current assets valued at $100, and owner equity of
$100. What is total D for this farm? correct answers $10
Quiz 6 correct answers Quiz 6
What is the correct numerator for ROA? correct answers total interest expense + net income
from operations
How is total interest expense calculated? correct answers cash interest paid + change in accrued
interest
OWNERS PREFER ROE > ROA > 0 correct answers True
Ted has collected corn inventories by month for the USA over the past twelve years. Ted would
like to make a pivot table that shows average corn inventory by month. What variable should be
used for COLUMN? correct answers Month
