Exam 5: Evaluating Operating and Financial Performance
Exam 1: Introduction to Finance for Entrepreneurs91 Questions
Exam 2: Developing the Business Idea88 Questions
Exam 3: Organizing and Financing a New Venture81 Questions
Exam 4: Preparing and Using Financial Statements68 Questions
Exam 5: Evaluating Operating and Financial Performance64 Questions
Exam 6: Managing Cash Flow37 Questions
Exam 7: Types and Costs of Financial Capital68 Questions
Exam 8: Securities Law Considerations When Obtaining Venture Financing77 Questions
Exam 9: Projecting Financial Statements61 Questions
Exam 10: Valuing Early-Stage Ventures63 Questions
Exam 11: Venture Capital Valuation Methods55 Questions
Exam 12: Professional Venture Capital54 Questions
Exam 13: Other Financing Alternatives61 Questions
Exam 14: Security Structures and Determining Enterprise Values58 Questions
Exam 15: Harvesting the Business Venture Investment68 Questions
Exam 16: Financially Troubled Ventures: Turnaround Opportunities67 Questions
Select questions type
In its closing financial statements for its first year in business, the Runs and Goses Company, had cash of $242, accounts receivable of $850, inventory of $820, net fixed assets of$3,408, accounts payable of $700, short-term notes payable of $740, long-term liabilities of $1,100, common stock of $1,160, retained earnings of$1,620, net sales of $2,768, cost of goods sold of $1,210, depreciation of $360, interest expense of $160, taxes of $312, addition to retained earnings of $508, and dividends paid of $218.
-What is the current ratio for Runs and Goses?
(Multiple Choice)
4.9/5
(32)
A venture's cash,marketable securities,and receivables comprise the venture's "liquid assets".
(True/False)
4.9/5
(40)
Leverage ratios indicate the extent to which the venture has used debt and its ability to meet debt obligations.
(True/False)
4.7/5
(37)
During the development and startup stages of a venture's life cycle,important users of financial ratios and measures include the entrepreneur,business angels,and venture capitalists (VCs).
(True/False)
4.8/5
(37)
"Net working capital" is calculated as fixed assets minus current liabilities.
(True/False)
4.8/5
(42)
Accounting rules require that the current maturities of long-term debt obligations be classified as short-term liabilities.
(True/False)
4.9/5
(37)
The part of a venture's interest payment that is subsidized by the government because of the deductibility of interest is called the interest tax shield.
(True/False)
4.8/5
(33)
The difference between a venture's ability to generate cash to pay interest and the amount of interest it has to pay is determined by which of the following ratios?
(Multiple Choice)
4.8/5
(36)
Net working capital is a dollar amount measure of the cushion between current assets and current liabilities.
(True/False)
4.8/5
(40)
In its closing financial statements for its first year in business, the Runs and Goses Company, had cash of $242, accounts receivable of $850, inventory of $820, net fixed assets of$3,408, accounts payable of $700, short-term notes payable of $740, long-term liabilities of $1,100, common stock of $1,160, retained earnings of$1,620, net sales of $2,768, cost of goods sold of $1,210, depreciation of $360, interest expense of $160, taxes of $312, addition to retained earnings of $508, and dividends paid of $218.
-The interest coverage ratio for Runs and Goses is:
(Multiple Choice)
4.7/5
(38)
A venture has net sales of $400,000,cost of goods sold of $200,000,operating expenses (selling,general,and administrative)of $100,000,and interest expenses of $50,000.What is the operating profit margin?
(Multiple Choice)
4.9/5
(38)
Showing the relationships between two or more financial variable and/or time,financial ratios are useful means of summarizing large amounts of financial data for comparative purposes.
(True/False)
4.8/5
(36)
Commercial banks are important users of financial ratios and measures during the development and startup stages of ventures.
(True/False)
4.7/5
(33)
Which of the following is not a profitability and efficiency ratio?
(Multiple Choice)
4.7/5
(33)
Dividing the average total assets by the average owners' equity is called which of the following ratios?
(Multiple Choice)
4.8/5
(34)
In its closing financial statements for its first year in business, the Runs and Goses Company, had cash of $242, accounts receivable of $850, inventory of $820, net fixed assets of$3,408, accounts payable of $700, short-term notes payable of $740, long-term liabilities of $1,100, common stock of $1,160, retained earnings of$1,620, net sales of $2,768, cost of goods sold of $1,210, depreciation of $360, interest expense of $160, taxes of $312, addition to retained earnings of $508, and dividends paid of $218.
-The gross profit margin for Runs and Goses is?
(Multiple Choice)
4.7/5
(38)
Liquidity ratios indicate the venture's ability to pay short term assets from short-term liabilities.
(True/False)
4.8/5
(38)
Showing 41 - 60 of 64
Filters
- Essay(0)
- Multiple Choice(0)
- Short Answer(0)
- True False(0)
- Matching(0)