A) Strategies can be implemented without them B) Strategies succeed only if finances are managed well C) They are only needed for reporting D) They reduce competition
A) Optional B) Irrelevant C) Central D) Secondary
A) Cultural advantage B) Political advantage C) Competitive advantage D) Legal advantage
A) Mix of debt and equity B) Level of profits C) Market value of stock D) Amount of cash on hand
A) Measure employee productivity B) Forecast sales C) Evaluate competitors D) Decide the best capital structure
A) Equity Per Share B) Earnings Per Share C) Earnings Per Stock D) Estimated Profit Share
A) Earnings After Taxes B) Equity Before Interest and Taxes C) Earnings Before Interest and Taxes D) Earnings Before Income Taxes
A) Earnings At Time B) Earnings After Taxes C) Earnings And Taxes D) Equity After Taxes
A) Compute EPS B) Gather input data C) Calculate taxes D) Graph EPS and EBIT
A) Y-axis B) Z-axis C) X-axis D) Horizontal bar
A) X-axis B) Y-axis C) Horizontal bar D) Z-axis
A) Has the highest EPS for a given EBIT level B) Avoids taxes C) Has the lowest debt D) Uses only equity
A) Control and flexibility B) Net income C) Interest expense D) Tax rates
A) 4 years B) 5 years C) 3 years D) 2 years
A) Balance Sheet B) Cash Flow Statement C) Statement of Retained Earnings D) Income Statement
A) Dividends only B) COGS and operating expenses C) Taxes only D) Assets only
A) EBIT − taxes B) Net income − dividends C) Sales − expenses D) Net income + dividends
A) Liability B) Dividend C) Fixed value D) Plug figure
A) To calculate EPS B) To hide losses C) To increase length D) To explain assumptions and major changes
A) Daily operations B) Divestitures C) Mergers D) Acquisitions
A) Net Income Method B) Outstanding Shares Method C) P/E Ratio Method D) Net Worth Method
A) Net income × 10 B) Net income × 5 C) Net income ÷ EPS D) Net income × stock price
A) Net income × 5 B) EPS × P/E ratio C) Assets − liabilities D) Number of shares × stock price
A) Predicts stock prices B) Replaces financial statements C) Eliminates risk D) Tracks performance and identifies strengths and weaknesses
A) Sells stock to the public for the first time B) Issues bonds C) Buys another firm D) Declares dividends |