1. Net working capital is positive if:

a. Current assets are purchased only with current liability funding

b. Current assets are purchased with both current and long-term funding

c. Current liabilities are used to purchase long-term as well as current assets

d. Fixed assets are purchased with current liability financing

e. None of the answers provided are correct

2. A firm's Statement of Cash Flow provides a plan for managing both cash inflows and outflows over a specific future period of time.(T or F)

3. Any plan for forecasting any excesses or shortages of cash over a period-of-time is called a

a. Cash plan

b. Funding plan

c. Capital Budget

d. Cash Budget

e. None of the answers provided is correct

4. Interest earned on debt investments is tax deductible for a corporation.(T or F)

5. Annas Ballet Attire, Inc. has current assets of $2,762,910, current liabilities of $1,384,502, and stockholders equity of $506,476. What is the firms net working capital?

a. $871,932

b. $4,653,888

c. $1,837,408

d. Cannot be determined from the information provided

e. None of the answers provided is correct