1 - Name Chapter 1-Overview of Financial Reporting,...

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Name Chapter 1--Overview of Financial Reporting, Financial Statement Analysis, and Valuation Description Instructions Modify Add Question Here Question 1 Multiple Choice 0 points Modify Remove Question The tools for studying industry economics do not include Answer Value chain analysis Classification using Porter’s five forces Classification of cash flows Economic attributes framework Add Question Here Question 2 Multiple Choice 0 points Modify Remove Question Which of the following is a question an analyst would ask when assessing the quality of a firm’s financial statements? Answer Are the company’s products designed to meet a specific market segment? Has the firm integrated forward into retailing to final consumers? Is the firm diversified across several geographical markets? Do earnings include nonrecurring gains or losses? Add Question Here Question 3 Multiple Choice 0 points Modify Remove Question Which of the following economic characteristics is consistent with a grocery store chain? Answer minimal competition extensive competition high net income to sales differentiated product Add Question Here Question 4 Multiple Choice 0 points Modify Remove Question On a common size basis, which of the following assets is normally largest for a electric utility? Answer Accounts receivable Inventory Property, Plant and Equipment
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Cash and Marketable Securities Add Question Here Question 5 Multiple Choice 0 points Modify Remove Question On a common size basis, which of the following assets is normally largest for a commercial bank? Answer Accounts and Notes Receivable Inventory Property, Plant and Equipment Cash and Marketable Securities Add Question Here Question 6 Multiple Choice 0 points Modify Remove Question Which of the following is not one of Porter’s five forces? Answer Buyer Power Supplier power Threat of Regulation Threat of Substitutes Add Question Here Question 7 Multiple Choice 0 points Modify Remove Question When assessing buyer power using Porter’s five forces which of the following is not consistent with low buyer power? Answer Brand loyalty Control of distribution channel Large number of suppliers Low price Add Question Here Question 8 Multiple Choice 0 points Modify Remove Question The second step in financial statement analysis is to identify the company strategy. Which of the following is a question an analyst should ask when performing a strategy analysis? Answer Are industry sales growing rapidly or slowly? Do earnings include revenues that appear mismatched with the business model employed by the firm? Does the industry include a large number of firms selling similar products?
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What is the company’s degree of geographical diversification? Add Question Here
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This note was uploaded on 03/06/2012 for the course ACCT 6344 taught by Professor Mark during the Fall '11 term at University of Texas at Austin.

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1 - Name Chapter 1-Overview of Financial Reporting,...

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