Question 1 Payments on non-current liabilities that are paid monthly, quarterly, semi-annually, or at another defined period.
Question:
Question 1
Payments on non-current liabilities that are paid monthly, quarterly, semi-annually, or at another defined period.
Question 1 options:
Interest | |
Installments | |
Bonds | |
Coupons | |
None of the above |
Question 2
An interest rate that is constant for the entire term of a debt
Question 2 options:
Fixed | |
Floating | |
Variable | |
Either (b) or (c) | |
None of the above |
Question 3
An interest rate that changes as the market rates change
Question 3 options:
Fixed | |
Floating | |
Variable | |
Either (b) or (c) | |
None of the above |
Question 4
A secured note uses ___________ as security for the loan
Question 4 options:
Bonds | |
Liabilities | |
Collateral | |
Personal liability | |
None of the above |
Question 5
__________________ principal payments are repayable in equal periodic principal amounts, plus interest
Question 5 options:
Fixed | |
Blended | |
Variable | |
Floating | |
None of the above |
Question 6
Each instalment payment on a non-current note is made up of:
Question 6 options:
Interest payment | |
Reduction of principal | |
Asset sales | |
Both (a) and (b) |
Question 7
When using fixed principal payments the amount of principal reduction each month will
Question 7 options:
Increase | |
Stay the same | |
Decrease | |
Either (a) or (b) | |
None of the above |
Question 8
__________________ principal payments are repayable in equal periodic amounts that include the principal AND the interest
Question 8 options:
Fixed | |
Blended | |
Variable | |
Floating | |
None of the above |
Question 9
When using blended payments the amount of principal reduction each month will
Question 9 options:
Increase | |
Stay the same | |
Decrease | |
Either (a) or (b) | |
None of the above |
Question 10
When using blended payments the amount of interest each month will:
Question 10 options:
Increase | |
Stay the same | |
Decrease | |
Either (a) or (b) | |
None of the above |
Question 11
When using fixed payments the amount of interest each month will:
Question 11 options:
Increase | |
Stay the same | |
Decrease | |
Either (a) or (b) | |
None of the above |
Question 12
When using fixed payments the amount of the cash payment each month will
Question 12 options:
Increase | |
Stay the same | |
Decrease | |
Either (a) or (b) | |
None of the above |
Question 13
When using blended payments the amount of the cash payment each month will
Question 13 options:
Increase | |
Stay the same | |
Decrease | |
Either (a) or (b) | |
None of the above |
Question 14
Any principal reduction that is planned to occur in the next accounting period must be classified as a:
Question 14 options:
Current Liability | |
Non-Current Liability | |
Current Asset | |
Non-Current Asset | |
None of the above |
Income Tax Fundamentals 2013
ISBN: 9781285586618
31st Edition
Authors: Gerald E. Whittenburg, Martha Altus Buller, Steven L Gill