Are you able to guess answers of ACC 206 Week 10 Quiz Chapter 18 very easily without having any confusion in your mind? If the answer is no then you have reached to the right online learning portal that helps its students to answers all the questions quickly and easily. Uop E Tutors has always tried to make study material as easy as possible.
ACC 206 Week 10 Quiz Chapter 18

ACC 206 Week 10 Quiz Chapter 18

$7.99 - $9.99
Rating: A+ Purchased: 35 Times

ACC 206 Week 10 Quiz Chapter 18 -

 

Multiple Choice Question 63

Vertical analysis is also called

  • common size analysis.
  • horizontal analysis.
  • trend analysis.
  • ratio analysis.

 

Multiple Choice Question 94             

The ratios that are used to determine a company's short-term debt paying ability are

  • times interest earned, inventory turnover, current ratio, and accounts receivable turnover.
  • asset turnover, times interest earned, current ratio, and accounts receivable turnover.
  • times interest earned, acid-test ratio, current ratio, and inventory turnover.
  • current ratio, acid-test ratio, accounts receivable turnover, and inventory turnover.

 

Multiple Choice Question 69             

In performing a vertical analysis, the base for cost of goods sold is

  • total selling expenses.
  • total expenses.
  • net sales.
  • total revenues.

 

Multiple Choice Question 107           

An aircraft company would most likely have

  • a high inventory turnover.
  • low profit margin.
  • a low inventory turnover.
  • high volume.

 

Multiple Choice Question 146           

All of the following statements regarding changes in accounting principles are true

  • Most changes in accounting principles are retroactively reported.
  • Most changes in accounting principles are only reported in current periods when the principle change takes place.
  • Consistency is one of the biggest concerns when a change in accounting principle is undertaken.
  • Changes in accounting principles are allowed when new principles are preferable to old ones.

 

Multiple Choice Question 129           

The following information pertains toRural Company. Assume that all balance sheet amounts represent both average and ending balance figures. Assume that all sales were on credit.

Assets

Cash and short-term investments                $ 40,000

Accounts receivable (net)                              30,000

Inventory                                                       25,000

Property, plant and equipment                    215,000

            Total Assets                                        $310,000

                                    Liabilities and Stockholders’ Equity

Current liabilities                                          $ 60,000

Long-term liabilities                                      75,000

Stockholders’ equity—common                   175,000

Total Liabilities and Stockholders’ Equity $310,000

                                    Income Statement

Sales                                                                $ 95,000

Cost of goods sold                                         45,000

Gross profit                                                   50,000

Operating expenses                                       15,000

            Net income                                         $ 35,000

Number of shares of common stock                        5,000

Market price of common stock                    $21

Dividends per share                                      1.00

What is the price-earnings ratio for Rural

 

  • 8 times
  • 7.0 times
  • 4.0 times
  • 3.0 times

 

Multiple Choice Question 61             

Saira, Inc. has the following income statement (in millions)

SAIRA, INC.

Income Statement

For the Year Ended December 31, 2014

           

Net Sales                                             $300

Cost of Goods Sold                           180

Gross Profit                                       120

Operating Expenses                          45

Net Income                                         $75

Using vertical analysis, what percentage is assigned to Cost of Goods Sold

  • 100%
  • 40%
  • None of these answer choices are correct.
  • 60%

 

Multiple Choice Question 127           

The following information pertains toRural Company. Assume that all balance sheet amounts represent both average and ending balance figures. Assume that all sales were on credit.

Assets

Cash and short-term investments                            $ 40,000

Accounts receivable (net)                                          30,000

Inventory                                                                   25,000

Property, plant and equipment                                215,000

            Total Assets                                                    $310,000

                       

Liabilities and Stockholders’ Equity

Current liabilities                                                      $ 60,000

Long-term liabilities                                                  75,000

Stockholders’ equity—common                               175,000

            Total Liabilities and Stockholders’ Equity $310,000

                       

Income Statement

Sales                                                                            $130,000

Cost of goods sold                                                     45,000

Gross profit                                                               85,000

Operating expenses                                                   5,000

            Net income                                                     $ 60,000

Number of shares of common stock                                    5,000

Market price of common stock                                $22

Dividends per share                                                  1.00

What is the profit margin for Rural

  • 27.8%
  • 65.4%
  • 70.6%
  • 46.2%

 

Multiple Choice Question 77

Turnbull Department Store had net credit sales of $18,000,000 and cost of goods sold of $15,000,000 for the year. The average inventory for the year amounted to $2,500,000. Inventory turnover for the year is

  • 15 times.
  • 7.2 times.
  • 6 times.
  • 1.5 times.

 

Multiple Choice Question 96

Nord Company had $375,000 of current assets and $150,000 of current liabilities before borrowing $70,000 from the bank with a 3-month note payable. What effect did the borrowing transaction have on the amount of Nord Company's working capital

  • No effect
  • $70,000 increase
  • $140,000 increase
  • $70,000 decrease

 

  Total Reviews(0)