Strayer ACC 557 Week 11 Chapter 14 Quiz
This Tutorial contains All possible Questions from this chapter (it contains more than 200 questions set)
parker hardware store had net credit sales of $8,000,000 and the cost of goods sold of $5,000,000 for the year. the accounts receivable balances at the beginning and end of the year were $600,000 and $700,000, respectively. the receivables turnover was
SOME SAMPLE QUESTIONS ARE GIVEN BELOW OUT OF THOSE 200 QUESTIONS
Question no 1
Multiple Choice Question 79
Parker Hardware Store had net credit sales of $8,000,000 and cost of goods sold of $5,000,000 for the year. The Accounts Receivable balances at the beginning and end of the year were $600,000 and $700,000, respectively. The receivables turnover was
- 11.4 times.
- 12.3 times.
- 4.6 times.
- 7.7 times.
Question no 2
Multiple Choice Question 49
Which one of the following is not a tool in financial statement analysis?
- Ratio analysis
- Horizontal analysis
- Vertical analysis
- Circular analysis
Question no 3
IFRS Multiple Choice Question 243
Under IFRS, there is no classification for
- changes in accounting principles.
- changes in accounting estimates.
- discontinued operations.
- extraordinary items
Question no 4
Multiple Choice Question 155
- the income before the extraordinary item is $1,680,000.
- the income before the extraordinary item is $1,920,000.
- the extraordinary loss will be reported at $240,000.
- the extraordinary loss would be reported on the income statement at $800,000.
Question no 5
Multiple Choice Question 65
Darius, Inc. has the following income statement (in millions):
DARIUS, INC.
Income Statement
For the Year Ended December 31, 2012
Net Sales $300
Cost of Goods Sold 120
Gross Profit 180
Operating Expenses 44
Net Income $136Using vertical analysis, what percentage is assigned to Net Income?
- 100%
- 75.6%
- 45.3%
- None of these
Question no 6
Multiple Choice Question 135
The following amounts were taken from the financial statements of Plant Company:
2013 2012
Total assets $800,000 $1,000,000
Net sales 720,000 650,000
Gross profit 352,000 320,000
Net income 126,000 117,000
The weighted average number of common shares outstanding 90,000 90,000
The market price of common stock $35 $39
The return on assets ratio for 2013 is
- 14%
- 32%.
- 28%.
- 16%.
Question no 7
Multiple Choice Question 174
Parrish, Inc. decided on January 1 to discontinue its telescope manufacturing division. On July 1, the division’s assets with a book value of $1,250,000 are sold for $850,000. Operating income from January 1 to June 30 for the division amounted to $125,000. Ignoring income taxes, what total amount should be reported on Parrish’s income statement for the current year under the caption, Discontinued Operations?
- $400,000 loss
- $275,000 loss
- $525,000
- $125,000
Question no 8
Multiple Choice Question 112
Earnings per share are calculated
- only for preferred stock.
- only for treasury stock.
- for common and preferred stock.
- only for common stock.
STATUS
Question no 9
Multiple Choice Question 171
The acid-test ratio is also known as the
- current ratio.
- fast ratio.
- quick ratio.
- times interest earned ratio
Question no 10
Multiple Choice Question 70
In performing a vertical analysis, the base for sales revenues on the income statement is
- net income.
- cost of goods available for sale.
- net sales.
- sales.
Question no 11
Multiple Choice Question 162
The order of presentation of nontypical items that may appear on the income statement is
- Other revenues and expenses, Extraordinary items, discontinued operations.
- Extraordinary items, Discontinued operations, Other revenues and expenses.
- Discontinued operations, extraordinary items, Other revenues and expenses.
- Other revenues and expenses, Discontinued operations, Extraordinary items
Question no 12
Multiple Choice Question 98
A measure of the percentage of each dollar of sales that results in net income is
- a return on assets.
- earnings per share.
- profit margin.
- return on common stockholders’ equity.
Question no 13
Multiple Choice Question 159
Which one of the following would be classified as an extraordinary item?
- Expropriation of property by a foreign government.
- Losses attributed to a labor strike.
- Write-down of inventories.
- Gains or losses from sales of equipment.
Question no 14
Multiple Choice Question 122
The following information pertains to Sampson 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 $ 45,000
Accounts receivable (net) 25,000
Inventory 20,000
Property, plant and equipment 210,000
Total Assets $300,000
Liabilities and Stockholders’ Equity
Current liabilities $ 50,000
Long-term liabilities 90,000
Stockholders’ equity—common 160,000
Total Liabilities and Stockholders’ Equity $300,000
Income Statement
Sales $ 120,000
Cost of goods sold 66,000
Gross profit 54,000
Operating expenses 30,000
Net income $ 24,000
Number of shares of common stock 6,000
Market price of common stock $20
Dividends per share .50
What is the current ratio for Sampson?
- 0.64
- 1.80:1
- 1.30:1
- 1.40:1
Question no 15
Multiple Choice Question 170
What type of ratios best measure the short-term ability of the enterprise to pay its maturing obligations and to meet unexpected needs for cash?
- Liquidity
- Solvency
- Profitability
- Leverage
