8

For Microsoft the gross profit margin is 70% while the net profit margin is 30%. Its sales are $200 billion dollars. What are SG&A?

(2 Points)

$80b

$100b

$120b

9

Charlie Brothers Ltd has a net income of $100M, purchases $40M of gross fixed assets, and raises short term liabilities of $10M (so its working capital decreases by $10M). There are no other uses or sources apart from dividends. How much $ dividends did the firm pay out?

(2 Points)

$70M

$140M

$50M

10

The average collection period goes up by 5 days, the accounts payable outstanding go up by 10 days, and the days inventory outstanding stays goes up by 5 days. By how much does the cash cycle change?

(2 Points)

It doesn't change

It goes up by 5 days.

It goes down by 5 days

It goes up by 10 days.

It goes down by 10 days.

11

The EBITDA is...

(2 Points)

displayed on the balance sheet and the income statement

displayed on the income statement only

displayed on the income statement and the sources and uses statement.

displayed on the balance sheet only.