I. Reinvestment opportunities II. Uncertainty of future III. Effects of inflation IV. Lack of money supply Which of these explains why there is a concept of time value of money?
Doğru Cevap!
Yanlış Cevap!
Doğru Cevap: B) I, II and III only
_ _ _ _ _ _ _ is very important for shareholders or potential investors, because it gives the number of times EPS that investors are willing to pay for one share of stock. Which of the following completes the sentences above?
Doğru Cevap: B) Price Earnings Ratio
MonkeyOne Corp. manufactures socks and sells all of its production. The price of the socks is $15 per unit and $9 of variable costs per unit produced and sold. The company has total fixed costs of $540,000 What is the break-even point of activity for MonkeyOne?
Doğru Cevap: E) 90,000
_ _ _ _ _ _ _ is the stated rate of which banks, credit card companies, mortgage loan officers tell you they charge. Which of the following complete the sentences above?
Doğru Cevap: E) Annual percentage rate
Bill decides to set aside $100 at the end of each month for his child’s college education. If the child were to be born today, how much will be available for its college education when s/he turns 19 years old with an interest rate of 5% monthly?
Doğru Cevap: B) $135,576
What is days in inventory for 2015?
Doğru Cevap: D) 60,83
Ali is going to borrow 4000 TL from the bank to purchase a holiday. The bank offers him to use a pure discount loan under 6% interest rate with 1 year maturity. Which of the following is the amount he is going to pay at maturity?
Doğru Cevap: A) 4240
Goldstar Inc. and Blackline Corp. are two competitors producing DVD players. Both firms record the same EBIT amount of $4,000,000. Goldstar Inc.’s management is conservative and relies more on equity financing whereas Blackline Inc. is a younger company utilizing more debt financing in its capital structure. Goldstar has a debt ratio of 20% and Blackline reports a debt ratio of 50%. Thus, Goldstar incurs $500,000 of interest expense while Blackline pays $1,750,000 of interest. The tax rate is 35% for both companies. What is the DFL of these companies?
Doğru Cevap: B) 1.142-1.777
Which of the following is P in the CVP equation?
Doğru Cevap: A) the sales price per unit
A corp. has a fixed costs of $500,000. And it sales only one product at $40 sale price with $15 variable costs. In case this corp. announces a $75,000 depreciation expense on its physical assets, find the cash break-even point in units.
Doğru Cevap: B) 17,000 units
The calculation of Future Values that include the interest on interest is called _____. Which of the following best completes the statement above?
Doğru Cevap: E) Compounding
How much will you need to put in the bank today at 7% interest rate (monthly) to have $200,000 in six years for a payment on a house?
Doğru Cevap: D) $133,268
_ _ _ _ _ _ _ is the interest that one earns only from the initial capital. Which of the following complete the sentences above?
Doğru Cevap: A) Simple interest
Computer software, licenses, trademarks, patents and copyrights are the examples of ________.
Doğru Cevap: C) intangible assets
What will be the future value of $2800 today at the end of 10 years if the interest rate is 18%?
Doğru Cevap: A) $14,657.74
What is the term for 'the movement of money from lenders to borrowers, and back from borrowers to lenders' in a financial system?
Doğru Cevap: C) Cycle of money
Which ratio is computed and expressed as following ? ? = Market Price per Share / Earnings per Price
Doğru Cevap: A) Price Earnings Ratio
Which one of the following is a determinant factor in the cycle of money?
Doğru Cevap: C) Interest rate
A cable corp. is producing fiber obtic cables. The firm records $2,500,000 EBIT and incurs $500,000 of interest expense. What is the degree of financial leverage this company?
Doğru Cevap: C) 1.25
HKN Corp. manufactures a computer appliance and sells all of its production. The price of the appliance is $24/unit. The company incurs $10 of variable costs per unit produced and sold. HKN has total fixed costs of $420,000. What is the break-even point of activity for HKN?
Doğru Cevap: D) 30,000 units