Which of the following is NOT a valid theory that attempts to explain the shape of the term structure of interest rates?the Fisher Effect theory A "normal" yield curve is Upward Sloping (Computing earnings per share) If ABC company earned $280,000 dividends $40,000, what are ABC's EPS has 80,000 shares$280,000/80000 shares =$3.5 Earnings per share are _____ divided by the ______net income; the number of shares
Dividends per share ____divided by ____.dividends; the number of sharesWhat are profit margins? The profit margins and the profits-to-sales relationships. Three types are gross profit margin, operating profit margin, and net profit margin.The December 31, 2009 balance sheet shows$135,000Wheeler CorporationWheeler paid a dividend in 2010 of $2 million The two principle sources of financing for corporations aredebt and equity Net working capital is equal to current assets minus current liabilitiesWhat information does a firm's balance sheet provide to the viewing public?an itemization of all of firm's assets, liabilities, and equity as of the balance sheet date A company borrows $2,000,000 and uses the money to purchase high technology machinery for its operations. These are examples cash flow from financing and cash flow from investingRacing Horse Corporation reported$220,000Examples of uses of cash include paying cash dividends to stockholders. What information does a firm's statement of cash flows provide to the viewing public?
a report documenting a firm's cash inflows and cash outflows A firm has after-tax cash flow from operations equal to $100,000. Operating increased $20,000, and the firm purchased $30,000$50,000Rogue Corp has sales of $4,250,000, COGS $2,500,000, total operating exp. are $600,000. firm interest exp. $250,000 crptx .40$360,000The income statement for Simpson, Inc. indicates $25,000Is it possible for two companies to have the same financial performance, but their financial statements can be differ. True In the United States, financial statements are prepared following the Financial Accounting Standards Board'sTrue Financial analysisuses historical financial statements Common-sized balance sheets show each balance sheet account as a percentage of total assets Which of the following transactions will increase a corporation's operating return on assets?negotiate a new contract that lowers raw material cost by 10% An analyst is evaluating two companies A and B Company B has a higher operating return on assets that Company A Smith Corporation has earned a return on capital invested of 10% investors' required rate of return is 12%
All of the following measure liquidity except: operating return on assets Jones, Inc. The company writes a $30,000 check to pay off some existing accounts payableFor a retailer with inventory to sell, the acid-test ratio will be less than the current ratio, thus providing a more stringent measure of liquidity Company A has a higher day's sales outstanding ratio than Company B.
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