UGBA 10 Spring Exam
Those accountants who are hired by firms as salaried employees, and who specialize in areas such as
financial planning, internal auditing, and taxation are called - correct answer private accountants.
Which option A to D arranges the degrees of competition in order of the number of competitors, with
the highest number of competitors first? - correct answer Perfect competition > Oligopoly > Monopoly.
Which of the following statistics best measures the economic well-being of the average personin the US?
- correct answer US GDP per capita
What is the term for the first sale of a company's stock or common shares to the public? - correct answer
Initial Public Offering
All of the following items would be shown on a company balance sheet except? - correct answer
expenses
What is shown on the income statement? - correct answer revenue and expenses
What type of loan is guaranteed by collateral? - correct answer secured loan
collateral - correct answer Collateral is an asset or piece of property that a borrower offers to a lender as
security for a loan. If the borrower fails to pay the loan, the lender has the right to take the asset used as
collateral. Loans that are backed by collateral are secured business loans.A
venture capital - correct answer Venture capital is a type of private equity, a form of financing that is
provided by firms or funds to small, early-stage, emerging firms that are deemed to have high growth
potential, or which have demonstrated high growth (not available to public)
angel investment - correct answer An angel investment is a form of equity financing-the investor supplies
funding in exchange for taking an equity position in the company. (not available to public) Equity
, financing is normally used by non-established businesses that do not have sufficient cash flow or
collateral with which to secure business loans from financial institutions.
secondary market - correct answer The secondary market is where investors buy and sell securities they
already own. It is what most people typically think of as the "stock market," though stocks are also sold
on the primary market when they are first issued (describes trading of shares after the Initial public
offering )
assets - correct answer an asset is any resource owned by the business. Anything tangible or intangible
that can be owned or controlled to produce value and that is held by a company to produce positive
economic value is an asset (liabilities + equity)
liabilities - correct answer company's legal financial debts or obligations that arise during the course of
business operations. (total assets - total stock holder's equity)
stock holders equity - correct answer It is calculated as the capital given to a business by its shareholders,
plus donated capital and earnings generated by the operation of the business, less any dividends issued
(Total assets - Total liabilities)
Profitability - correct answer calculated as Contribution margin minus fixed costs,
Which of the following suggestions would not be helpful in enhancing Instadash'sprofitability as
measured by net income? - correct answer increasing the average order size
Since Instadash does not charge a markup on items, but only a per delivery fee, suggestion d would
notincrease profitability. In fact, it would decrease profitability by increasing the time taken per order.
What have been the changes in retirement schemes in the last 20-30 years? - correct answer Increasing
proportion of defined contribution schemes
retirement schemes - correct answer arrangement to provide people with an income during retirement
when they are no longer earning a steady income from employment
Those accountants who are hired by firms as salaried employees, and who specialize in areas such as
financial planning, internal auditing, and taxation are called - correct answer private accountants.
Which option A to D arranges the degrees of competition in order of the number of competitors, with
the highest number of competitors first? - correct answer Perfect competition > Oligopoly > Monopoly.
Which of the following statistics best measures the economic well-being of the average personin the US?
- correct answer US GDP per capita
What is the term for the first sale of a company's stock or common shares to the public? - correct answer
Initial Public Offering
All of the following items would be shown on a company balance sheet except? - correct answer
expenses
What is shown on the income statement? - correct answer revenue and expenses
What type of loan is guaranteed by collateral? - correct answer secured loan
collateral - correct answer Collateral is an asset or piece of property that a borrower offers to a lender as
security for a loan. If the borrower fails to pay the loan, the lender has the right to take the asset used as
collateral. Loans that are backed by collateral are secured business loans.A
venture capital - correct answer Venture capital is a type of private equity, a form of financing that is
provided by firms or funds to small, early-stage, emerging firms that are deemed to have high growth
potential, or which have demonstrated high growth (not available to public)
angel investment - correct answer An angel investment is a form of equity financing-the investor supplies
funding in exchange for taking an equity position in the company. (not available to public) Equity
, financing is normally used by non-established businesses that do not have sufficient cash flow or
collateral with which to secure business loans from financial institutions.
secondary market - correct answer The secondary market is where investors buy and sell securities they
already own. It is what most people typically think of as the "stock market," though stocks are also sold
on the primary market when they are first issued (describes trading of shares after the Initial public
offering )
assets - correct answer an asset is any resource owned by the business. Anything tangible or intangible
that can be owned or controlled to produce value and that is held by a company to produce positive
economic value is an asset (liabilities + equity)
liabilities - correct answer company's legal financial debts or obligations that arise during the course of
business operations. (total assets - total stock holder's equity)
stock holders equity - correct answer It is calculated as the capital given to a business by its shareholders,
plus donated capital and earnings generated by the operation of the business, less any dividends issued
(Total assets - Total liabilities)
Profitability - correct answer calculated as Contribution margin minus fixed costs,
Which of the following suggestions would not be helpful in enhancing Instadash'sprofitability as
measured by net income? - correct answer increasing the average order size
Since Instadash does not charge a markup on items, but only a per delivery fee, suggestion d would
notincrease profitability. In fact, it would decrease profitability by increasing the time taken per order.
What have been the changes in retirement schemes in the last 20-30 years? - correct answer Increasing
proportion of defined contribution schemes
retirement schemes - correct answer arrangement to provide people with an income during retirement
when they are no longer earning a steady income from employment
