Moving to another question will save this response Question 36 A firm with a gross profit margin which meets Industry standard and a not profit margin which is below industry standard may cost of goods sold general and administrative expenses principal payments dividend payments Moving to another question will save this response. MacBook Pro DOO BO F2 # N $ 4 E % 5 0 6 17 7 3 7 T Moving to another question will save this response Question 35 Which of the following ratios is difficult for the creditors of a firm to analyze from the published financial statements? average payment period quick ratio total asset turnover debt equity ratio > A Moving to another question will save this response. MacBook Moving to another question will save this response Question 34 A firm's total asset turnover increased from 0.75 to 0.90. Which of the following is true about the given data? By cutting back on assets, the firm runs the risk of creating problems like inventory stockouts and production delays The firm's stock price will go up because it is using asset more efficiently. The firm is generating more dollars of sales per dollar of assets now than it was before. The firm is generating fewer dollars of sales per dollar of assets now than it was before. L A Moving to another question will save this response. MacBook Pro 30 F3 DOO DOO FA F2 7 % $ # LA Moving to another question will save this response. Question 33 A firm with a total asset turnover lower than industry standard may have insufficient fixed assets insufficient sales excessive debt excessive interest costs L A Moving to another question will save this response. Moving to another question will save this response. Question 32 The more money a firm borrows the lower is its ROE because more interest expense reduces earnings the higher is its gross profit margin the larger is the gap between its ROA and its ROE the lower is its operating profit margin A Moving to another question will save this response. Moving to another question will save this response. Question 31 Which of the following is true of accrual basis accounting? Expenses are recognized either when they are incurred or cash is paid. Revenue is recognized when a customer pays cash. Revenue is recognized when a customer pays cash or shows interest to purchase the product or service. Expenses are recognized when they are incurred. --> A Moving to another question will save this response. MacBook P. DOO DOO Moving to another question will save this response. Question 30 Economic theories that the financial manager must be able to utilize for efficient business operations, include profit-maximizing strategies. supply-and-demand analysis. marginal analysis. all of the above. A Moving to another question will save this response. Mai Moving to another question will save this response. Question 29 Which of the following legal forms of organization is most expensive to organize? sole proprietorships partnerships corporations limited partnership 1 A Moving to another question will save this response. 4 Moving to another question will save this response Question 28 The principal-agent problem arises when managers serve on a firm's board of directors a firm is organized as a sole proprietorship the owners of the firm are not the people managing the firm the owners of the firm also manage the firm A Moving to another question will save this response. L A Moving to another question will save this response. Question 27 Wealth maximization as the goal of a firm implies enhancing the wealth of the auditors the creditors the federal reserve the firm's stockholders A Moving to another question will save this response. Moving to another question with Question 26 If a corporation soll certain capitument for more than to purchase the center capital gain revenue gain abnormal gain ordinary gain Moving to another question will save this response MacBook Pro BA $ % 5 # 3 w 0 3 4 T 7 2 Y R W E PAN Q Co: I S D