Financial Analysis Exam Questions and
Answers Graded A+
Which of the following is a current asset?
Long-term financial investments
Property, plant & equipment
Intangibles
Inventory - Correct answer-Inventory
Goodwill is a(n) ..........................
Tangible asset
Current asset
Liability
Intangible asset - Correct answer-Intangible asset
Which of the following is a current liability?
Long-term debts
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,Accounts payable
Pension liabilities
Deferred income taxes - Correct answer-Accounts payable
Long-term liabilities can be paid (excluding current component):
Within one year
Within a week
Within one month
In more than one year - Correct answer-In more than one year
Which of the following is true?
Liabilities = Assets + Equity
Equity = Assets + Liabilities
Assets = Liabilities + Equity
Assets = Liabilities - Equity - Correct answer-Assets=Liabilities + Equity
Which of the following accurately describes the book value of a company's assets?
Book value is dependent on historical cost of assets
Book value is difficult to measure
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, Book value always reflects the current value of a company's assets
Book value is a better input to firm valuation than the market value of a company's
assets - Correct answer-Book value is dependent on historical cost of assets
The 'top line' in a profit and loss statement is:
Net income/earnings
Income tax
Operating income
Sale revenue - Correct answer-Sale revenue
Which of the following equations is true?
Net sales = Revenue - Expenses
Net sales = Gross sales - Selling, general and administrative expenses
Net sales = Gross sales - Deductions
Net sales = Gross sales - Expenses - Correct answer-Net sales = Gross sales -
Deductions
Which of the following is NOT included in operating income?
Income tax
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Answers Graded A+
Which of the following is a current asset?
Long-term financial investments
Property, plant & equipment
Intangibles
Inventory - Correct answer-Inventory
Goodwill is a(n) ..........................
Tangible asset
Current asset
Liability
Intangible asset - Correct answer-Intangible asset
Which of the following is a current liability?
Long-term debts
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,Accounts payable
Pension liabilities
Deferred income taxes - Correct answer-Accounts payable
Long-term liabilities can be paid (excluding current component):
Within one year
Within a week
Within one month
In more than one year - Correct answer-In more than one year
Which of the following is true?
Liabilities = Assets + Equity
Equity = Assets + Liabilities
Assets = Liabilities + Equity
Assets = Liabilities - Equity - Correct answer-Assets=Liabilities + Equity
Which of the following accurately describes the book value of a company's assets?
Book value is dependent on historical cost of assets
Book value is difficult to measure
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, Book value always reflects the current value of a company's assets
Book value is a better input to firm valuation than the market value of a company's
assets - Correct answer-Book value is dependent on historical cost of assets
The 'top line' in a profit and loss statement is:
Net income/earnings
Income tax
Operating income
Sale revenue - Correct answer-Sale revenue
Which of the following equations is true?
Net sales = Revenue - Expenses
Net sales = Gross sales - Selling, general and administrative expenses
Net sales = Gross sales - Deductions
Net sales = Gross sales - Expenses - Correct answer-Net sales = Gross sales -
Deductions
Which of the following is NOT included in operating income?
Income tax
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