A company is preparing a common-size balance sheet and wishes the base amount to be the total amount of assets.What are the 2013 and 2014 common-size percents for cash? \[\begin{array} { | l | r | r | } \hline & \mathbf { 2 0 1 3 } & { 2014 } \\ \hline \text { Cash } & \$ 21,904 & \$ 32,203 \\ \hline \text { Total curtert assets } & 101,769 & 141,128 \\ \hline \text { Propety and equipment } & 112,577 & 202,558 \\ \hline \text { Long-tern irvestrments } & 12,700 & 4,344 \\ \hline \text { Intarigible assets } & 16,621 & 48,703 \\ \hline \text { Other lonp-term assets } & 11,709 & 13,754 \\ \hline \text { Total assets } & \$ 255,376 & \$ 410,487 \\ \hline \end{array}\]

A) 21.52% in 2013 and 22.82% in 2014. B) 7.90% in 2013 and 7.27% in 2014. C) 8.58% in 2013 and 7.85% in 2014. D) 19.30% in 2013 and 20.79 in 2014. E) The percent cannot be computed for 2013 and it is 47.01% in 2014. A) 21.52% in 2013 and 22.82% in 2014. B) 7.90% in 2013 and 7.27% in 2014. C) 8.58% in 2013 and 7.85% in 2014. D) 19.30% in 2013 and 20.79 in 2014. E) The percent cannot be computed for 2013 and it is 47.01% in 2014.

Exam 13: Analyzing and Interpreting Financial Statements

The evaluation of company performance and financial condition includes evaluation of (1) past and current performance, (2) current financial position,and (3) future performance and risk.

(True/False)

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Question 21

What are the standards for financial analysis comparison? Give examples of each.

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Question 22

A company has sales of $2,458,422,a gross profit ratio of 23%,a days' sales in inventory ratio of 12.4,and total current assets of $539,600.What is the ending inventory for the year?

(Multiple Choice)

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Question 23

Measures taken from a selected competitor or a group of competitors are often excellent standards of comparison for analysis.

(True/False)

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Question 24

What is the purpose of a good financial statement analysis report? What are the key components?

(Essay)

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Question 25

An extraordinary gain or loss is one that is both and _.

(Short Answer)

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Question 26

Identify and describe three common tools of financial statement analysis.

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Question 27

An advantage of common-size statements is that they reflect the relative sizes of different companies under analysis.

(True/False)

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Question 28

A company is preparing a common-size balance sheet and wishes the base amount to be the total amount of assets.What are the 2013 and 2014 common-size percents for cash? 2014 Cash \ 21,904 \ 32,203 Total curtert assets 101,769 141,128 Propety and equipment 112,577 202,558 Long-tern irvestrments 12,700 4,344 Intarigible assets 16,621 48,703 Other lonp-term assets 11,709 13,754 Total assets \ 255,376 \ 410,487

(Multiple Choice)

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Question 29

External users of financial information:

(Multiple Choice)

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Question 30

A change in inventory reporting from LIFO to FIFO is:

(Multiple Choice)

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Question 31

Use the balance sheets of Sando shown below to calculate the following ratios for 2013 (round to the hundredths): (a) Current ratio (b) Acid-test ratio (c) Debt ratio (d) Equity ratio

(Essay)

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Question 32

A company had a profit margin of 8%.If net income equaled $40,000 and average total assets equaled $332,500,how much were net sales?

(Multiple Choice)

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Question 33

Trend analysis is a form of horizontal analysis that can reveal patterns in data across successive periods.

(True/False)

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Question 34

A company's sales in 2013 were $250,000 and in 2014 were $287,500.Using 2013 as the base year,the sales trend percent for 2013 is:

(Multiple Choice)

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Question 35

A high level of expected risk suggests a low price-earnings ratio.

(True/False)

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Question 36

A company's calendar-year financial data are shown below.The company has pledged all of its net plant assets as security for its long-term notes payable: Calculate the following ratios for this company: (a) Equity ratio. (b) Pledged assets to secured liabilities ratio. (c) Times interest earned.

(Essay)

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Question 37

The current ratio and acid-test ratio are used to reflect the ____________ of a business.

(Short Answer)

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Question 38

Selected current year company information follows: Calculate the following company ratios: (a) Profit margin. (b) Total asset turnover. (c) Return on total assets. (d) Return on common stockholders' equity (assume the company has no preferred stock).

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Question 39

A company paid cash dividends on its preferred stock of $40,000 in the current year when its net income was $120,000 and its average common stockholders' equity was $640,000.What is the company's return on common stockholders' equity?

(Short Answer)

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Question 40

Showing 21 - 40 of 185

The evaluation of company performance and financial condition includes evaluation of (1) past and current performance, (2) current financial position,and (3) future performance and risk.

What are the standards for financial analysis comparison? Give examples of each.

A company has sales of $2,458,422,a gross profit ratio of 23%,a days' sales in inventory ratio of 12.4,and total current assets of $539,600.What is the ending inventory for the year?

Measures taken from a selected competitor or a group of competitors are often excellent standards of comparison for analysis.

What is the purpose of a good financial statement analysis report? What are the key components?

An extraordinary gain or loss is one that is both and _.

Identify and describe three common tools of financial statement analysis.

An advantage of common-size statements is that they reflect the relative sizes of different companies under analysis.

External users of financial information:

A change in inventory reporting from LIFO to FIFO is:

Use the balance sheets of Sando shown below to calculate the following ratios for 2013 (round to the hundredths): (a) Current ratio (b) Acid-test ratio (c) Debt ratio (d) Equity ratio

A company had a profit margin of 8%.If net income equaled $40,000 and average total assets equaled $332,500,how much were net sales?

Trend analysis is a form of horizontal analysis that can reveal patterns in data across successive periods.

A company's sales in 2013 were $250,000 and in 2014 were $287,500.Using 2013 as the base year,the sales trend percent for 2013 is:

A high level of expected risk suggests a low price-earnings ratio.

A company's calendar-year financial data are shown below.The company has pledged all of its net plant assets as security for its long-term notes payable: Calculate the following ratios for this company: (a) Equity ratio. (b) Pledged assets to secured liabilities ratio. (c) Times interest earned.

The current ratio and acid-test ratio are used to reflect the ____________ of a business.

Selected current year company information follows: Calculate the following company ratios: (a) Profit margin. (b) Total asset turnover. (c) Return on total assets. (d) Return on common stockholders' equity (assume the company has no preferred stock).

A company paid cash dividends on its preferred stock of $40,000 in the current year when its net income was $120,000 and its average common stockholders' equity was $640,000.What is the company's return on common stockholders' equity?

Introducing Financial Accounting

Accounting System and Financial Statements

Adjusting Accounts for Financial Statements

Reporting and Analyzing Merchandising Operations

Reporting and Analyzing Inventories

Reporting and Analyzing Cash and Internal Controls

Reporting and Analyzing Receivables

Reporting and Analyzing Long-Term Assets

Reporting and Analyzing Current Liabilities

Reporting and Analyzing Long-Term Liabilities

Reporting and Analyzing Equity

Reporting and Analyzing Cash Flows

Applying Present and Future Values

Investments and International Operations

Accounting for Partnerships

Accounting With Special Journals

Filters

Exam 13: Analyzing and Interpreting Financial Statements

The evaluation of company performance and financial condition includes evaluation of (1) past and current performance, (2) current financial position,and (3) future performance and risk.

What are the standards for financial analysis comparison? Give examples of each.

A company has sales of $2,458,422,a gross profit ratio of 23%,a days' sales in inventory ratio of 12.4,and total current assets of $539,600.What is the ending inventory for the year?

Measures taken from a selected competitor or a group of competitors are often excellent standards of comparison for analysis.

What is the purpose of a good financial statement analysis report? What are the key components?

An extraordinary gain or loss is one that is both ________________ and _________________.

Identify and describe three common tools of financial statement analysis.

An advantage of common-size statements is that they reflect the relative sizes of different companies under analysis.

External users of financial information:

A change in inventory reporting from LIFO to FIFO is:

Use the balance sheets of Sando shown below to calculate the following ratios for 2013 (round to the hundredths): (a) Current ratio (b) Acid-test ratio (c) Debt ratio (d) Equity ratio

A company had a profit margin of 8%.If net income equaled $40,000 and average total assets equaled $332,500,how much were net sales?

Trend analysis is a form of horizontal analysis that can reveal patterns in data across successive periods.

A company's sales in 2013 were $250,000 and in 2014 were $287,500.Using 2013 as the base year,the sales trend percent for 2013 is:

A high level of expected risk suggests a low price-earnings ratio.

A company's calendar-year financial data are shown below.The company has pledged all of its net plant assets as security for its long-term notes payable: Calculate the following ratios for this company: (a) Equity ratio. (b) Pledged assets to secured liabilities ratio. (c) Times interest earned.

The current ratio and acid-test ratio are used to reflect the ____________ of a business.

Selected current year company information follows: Calculate the following company ratios: (a) Profit margin. (b) Total asset turnover. (c) Return on total assets. (d) Return on common stockholders' equity (assume the company has no preferred stock).

A company paid cash dividends on its preferred stock of $40,000 in the current year when its net income was $120,000 and its average common stockholders' equity was $640,000.What is the company's return on common stockholders' equity?

Introducing Financial Accounting

Accounting System and Financial Statements

Adjusting Accounts for Financial Statements

Reporting and Analyzing Merchandising Operations

Reporting and Analyzing Inventories

Reporting and Analyzing Cash and Internal Controls

Reporting and Analyzing Receivables

Reporting and Analyzing Long-Term Assets

Reporting and Analyzing Current Liabilities

Reporting and Analyzing Long-Term Liabilities

Reporting and Analyzing Equity

Reporting and Analyzing Cash Flows

Applying Present and Future Values

Investments and International Operations

Accounting for Partnerships

Accounting With Special Journals

Filters

An extraordinary gain or loss is one that is both and _.