Kingsbury Associate's current assets are as follows:
Accounts Receivable $4,500
If Kingsbury has a current ratio of 3.2, what is its quick ratio?
d. none of the above
The debt ratio is a measure of a firm's
You just purchased a parcel of land for $10,000. If you expect a 14% annual rate of return on
your investment, how much will you sell the land for in 10 years?
9. An IPO (Initial Public Offering) is an example of secondary market transaction.
10. Market risk refers to the tendency of a stock to move with the general stock market. A stock
with above-average market risk will tend to be more volatile than an average stock and it will
also have a beta which is greater than 1.0.
11. Bobby's grandmother deposited $100 in a savings account for him when he was born. The
money has been earning an annual rate of 12% interest, compounded quarterly for the last 25
years. He is getting married and would like to take his new bride on a fabulous honeymoon.
How much does he have in this account to use?
Current Ratio=Current Assets/Current Liabilities
Quick Ratio=(Current Assets-Inventory)/Current Liabilities=(15,500-
8,000)/4,843.75 = 1.55
P/Y = 1
PV = -10,000
N=10 CPT FV=37,072
PV = -100
N=25 x 4 =100
CPT FV = 1,921.86