FIN 6710 Wall Street Prep1 Excel Crash Course : A+
Score Guide
Activities of a firm which require the spending of cash are known as:
A. sources of cash.
B. uses of cash.
C. cash collections.
D. cash receipts.
E. cash on hand. - ANSWERB) uses of cash.
The sources and uses of cash over a stated period of time are reflected on the:
A. income statement.
B. balance sheet.
C. tax reconciliation statement.
D. statement of cash flows.
E. statement of operating position. - ANSWERD) statement of cash flows.
A common-size income statement is an accounting statement that expresses all of a
firm's expenses as percentage of:
A. total assets.
B. total equity.
C. net income.
D. taxable income.
E. sales. - ANSWERE) sales.
Which one of the following standardizes items on the income statement and balance
sheet relative to their values as of a chosen point in time?
A. statement of standardization
B. statement of cash flows
,C. common-base year statement
D. common-size statement
E. base reconciliation statement - ANSWERC) common-base year statement
Relationships determined from a firm's financial information and used for
comparison purposes are known as:
A. financial ratios.
B. identities.
C. dimensional analysis.
D. scenario analysis.
E. solvency analysis. - ANSWERA) financial ratios.
The formula which breaks down the return on equity into three component parts is
referred to as which one of the following?
A. equity equation
B. profitability determinant
C. SIC formula
D. Du Pont identity
E. equity performance formula - ANSWERD) Du Pont identity
The U.S. government coding system that classifies a firm by the nature of its business
operations is known as the:
A. NASDAQ 100.
B. Standard & Poor's 500.
C. Standard Industrial Classification code.
D. Governmental ID code.
E. Government Engineered Coding System. - ANSWERC) Standard Industrial
Classification code.
, Which one of the following is a source of cash?
A. increase in accounts receivable
B. decrease in notes payable
C. decrease in common stock
D. increase in accounts payable
E. increase in inventory - ANSWERD) increase in accounts payable
Which one of the following is a source of cash for a non-tax-paying firm?
A. Increase in accounts receivable.
B. Increase in depreciation.
C. Decrease in accounts payable.
D. Increase in common stock.
E. Increase in inventory. - ANSWERD. Increase in common stock.
Which one of the following is a use of cash?
A. increase in notes payable
B. decrease in inventory
C. increase in long-term debt
D. decrease in accounts receivables
E. decrease in common stock - ANSWERE) decrease in common stock
Which one of the following is a source of cash?
A. repurchase of common stock
B. acquisition of debt
C. purchase of inventory
D. payment to a supplier
Score Guide
Activities of a firm which require the spending of cash are known as:
A. sources of cash.
B. uses of cash.
C. cash collections.
D. cash receipts.
E. cash on hand. - ANSWERB) uses of cash.
The sources and uses of cash over a stated period of time are reflected on the:
A. income statement.
B. balance sheet.
C. tax reconciliation statement.
D. statement of cash flows.
E. statement of operating position. - ANSWERD) statement of cash flows.
A common-size income statement is an accounting statement that expresses all of a
firm's expenses as percentage of:
A. total assets.
B. total equity.
C. net income.
D. taxable income.
E. sales. - ANSWERE) sales.
Which one of the following standardizes items on the income statement and balance
sheet relative to their values as of a chosen point in time?
A. statement of standardization
B. statement of cash flows
,C. common-base year statement
D. common-size statement
E. base reconciliation statement - ANSWERC) common-base year statement
Relationships determined from a firm's financial information and used for
comparison purposes are known as:
A. financial ratios.
B. identities.
C. dimensional analysis.
D. scenario analysis.
E. solvency analysis. - ANSWERA) financial ratios.
The formula which breaks down the return on equity into three component parts is
referred to as which one of the following?
A. equity equation
B. profitability determinant
C. SIC formula
D. Du Pont identity
E. equity performance formula - ANSWERD) Du Pont identity
The U.S. government coding system that classifies a firm by the nature of its business
operations is known as the:
A. NASDAQ 100.
B. Standard & Poor's 500.
C. Standard Industrial Classification code.
D. Governmental ID code.
E. Government Engineered Coding System. - ANSWERC) Standard Industrial
Classification code.
, Which one of the following is a source of cash?
A. increase in accounts receivable
B. decrease in notes payable
C. decrease in common stock
D. increase in accounts payable
E. increase in inventory - ANSWERD) increase in accounts payable
Which one of the following is a source of cash for a non-tax-paying firm?
A. Increase in accounts receivable.
B. Increase in depreciation.
C. Decrease in accounts payable.
D. Increase in common stock.
E. Increase in inventory. - ANSWERD. Increase in common stock.
Which one of the following is a use of cash?
A. increase in notes payable
B. decrease in inventory
C. increase in long-term debt
D. decrease in accounts receivables
E. decrease in common stock - ANSWERE) decrease in common stock
Which one of the following is a source of cash?
A. repurchase of common stock
B. acquisition of debt
C. purchase of inventory
D. payment to a supplier
