Test ch 5 - 1 'sfinancial...

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1 ) All of the following must certify that a public company's financial  statement are accurate, complete, and not misleading,  except  for the (2pts)   chief financial officer (CFO)   independent auditor   chief executive officer (CEO)   director of human resources 2 ) Liabilities have which of the following two major categories? (2pts)   unearned revenues and other payables   current and long   accounts payable and notes payable   contributed capital and retained earnings 3 ) Property, plant, and equipement (PPE) could include all  except e  (2pts)   operating assets   intangible assets   fixed assets   plant assets 4 ) An advantage of the single-step income statement over the multistep  form is (2pts)   the amount of information it provides
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  its use in computing ratios   its simplicity   its comprehensiveness 5 ) Which of the following items is  not  shown on a single-step income  statement? (2pts)   cost of goods sold   interest expense   selling expenses   gross margin 6 ) Give the information below, compute the asset turnover.Average  owner's equity     $9,250         Net income       $1,500    Average total assets          18,000          Net sales         15,625    Current assets                   11,250          Total liabilities 8,750     Current liabilities                 7,500 (2pts)   0.38 or 38%   0.083 or 8.3%   can't be determined   0.87 or 87% 7 ) Given this set of information, calculate the return on equity (ROE). Average owner's equity     $9,250         Net income       $1,500   
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Average total assets          18,000          Net sales         15,625   
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