1. ABC Co’ has inventory of $280,100, equity of $538,800, total assets of $1,000,000, and sales of $1,027,400. What is the common-size percentage for the inventory account?
A. 28.01 percent B. 34.76 percent C. 51.52 percent D. 21.92 percent E. 37.18 percent
2. Globestar Co’ has inventory of $6,000, accounts payable of $17,400, cash of $1,250, net fixed assets of $318,650, long-term debt of $109,500, and accounts receivable of $16,600. What is the common-size percentage of the equity?
A. 45.61 percent B. 17.15 percent C. 16.57 percent D. 41.78 percent E. 62.95 percent
3. MartWal Inc has net income of $100,400, total assets of $1,219,000, total equity of $694,100, and total sales of $2,521,700. What is the common-size percentage for the net income?
A. 19.50 percent B. 17.41 percent C. 21.73 percent D. 11.50 percent E. 3.98 percent
4. Speedy Ltd has a profit margin of 17.1 percent and net income of $33,700. What is the common-size percentage for the cost of goods sold if that expense amounted to $122,600 for the year?
A. 62.21 percent B. 13.51 percent C. 15.37 percent D. 98.12 percent E. 28.45 percent
5. Koru LLP has total assets of $819,200, long-term debt of $164,500, total equity of $366,900, net fixed assets of $582,800, and sales of $1,121,500. The profit margin is 3.2 percent. What is the current ratio?
A. .82 B. .79 C. 1.12 D. 1.56 E. 1.74
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Fin 330 – Managerial Finance Weekly Quiz 1 (Ch 3)
6. TriCo Inc has cash of $4,950, inventory of $28,470, fixed assets of $9,860, accounts payable of $17,200, and accounts receivable of $4,660. What is the cash ratio?
A. .08 B. .20 C. .30 D. .46 E. .29
7. Electra Inc has cash of $18,800, accounts receivable of $25,800, fixed assets of $87,600, accounts payable of $30,300, and inventory of $46,900. What is the quick ratio?
A. 1.47 B. 1.67 C. .87 D. .12 E. 1.44
8. Deep Sea Fisheries has total assets of $646,200, net fixed assets of $277,400, current liabilities of $6,100, and long-term liabilities of $224,600. What is the total debt ratio?
A. .97 B. .11 C. .48 D. .26 E. .35
9. The Lukewarm Corporation has current assets of $203,015, current liabilities of $122,008, total debt of $348,092 and total equity of $152,000. What is Lukewarm’s debt-equity ratio?
A. 0.03 B. 1.28 C. 2.31 D. 0.43 E. 2.29
10. The Awesome Fun Conglomerate has earnings before interest and taxes (EBIT) of $58,218 and net income (NI) of $4,042. The tax rate is 24 percent. What is the times interest earned ratio?
A. 0.08 B. 1.10 C. 8.90 D. 2.49 E. 1.26
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Fin 330 – Managerial Finance Weekly Quiz 1 (Ch 3)
11. Global Logistics has sales of $783,200, cost of goods sold of $312,900, and inventory of $174,315. What is the inventory turnover rate?
A. 17.37 times B. .9 times
C. 2.71 times D. 3.4 times E. 1.79 times
12. Global Logistics has sales of $783,200, cost of goods sold of $312,900, and inventory of $174,315. How long on average does it take Global Logistics to sell its inventory?
A. 203 days B. 89 days C. 725 days D. 37 days E. 25 days
13. Sports Apparel Co’ has sales of $538,800, cost of goods sold of $598,200, and accounts receivable of $186,700. How long on average does it take the firm's customers to pay for their purchases? Assume a 365-day year.
A. 126.47 days B. 111.82 days C. 28.12 days D. 142.38 days E. 40.37 days
14. Klingon Starship Ltd Inn has annual sales of $237,000. Earnings before interest and taxes (EBIT) is equal to 8.8 percent of sales. For the period, the firm paid $14,700 in interest. What is the profit (NI) margin if the tax rate is 24 percent?
A. -7.83 percent B. 0.56 percent C. 2.38 percent D. -3.69 percent E. 1.97 percent
15. Center Corp has total equity of $1,948,300, sales of $1.23 million, and a profit margin of 8 percent. What is the return on equity (ROA)?
A. 5.05 percent B. 3.95 percent C. 9.86 percent D. 4.82 percent E. 1.79 percent
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Fin 330 – Managerial Finance Weekly Quiz 1 (Ch 3)
Please use information in Table 1 to answer question 16 through 20:
Golden Globe Balance Sheet and Income Statement data:
Balance Sheet
Assets:
|
Liabilities:
|
Cash and marketable securities Accounts receivable Inventories
Prepaid expenses
Total current assets
Fixed assets
Less: accumulated depreciation Net fixed assets
Total assets
$300,000 $2,215,000 $1,837,500 $24,000 $3,286,500 $2,700,000 $1,087,500 $1,612,500 $4,899,000
|
Accounts payable Notes payable Accrued taxes
Total current liabilities Long-term debt Equity:
Owner's equity
Total liabilities and equity
$240,000 $825,000 $42,500 $1,107,000 $975,000
$2,817,000
$4,899,000
|
Income Statement
Net sales (all credit)
Less: Cost of goods sold
Selling and administrative expense Depreciation expense
Interest expense
Earnings before taxes
Income taxes
Net income
Common stock dividends
Change in retained earnings
16) the Current Ratio is
A) 2.11. B) 2.97. C) 1.46. D) 2.23.
17) the average Collection Period is
A) 64 days. B) 127 days. C) 71 days. D) 84 days.
18) the Debt Ratio is
A) 0.20. B) 0.42. C) 0.74. D) 0.70.
19) the Net Profit (Income) Margin is
A) 5.33%. B) 4.61%. C) 2.94%. D) 1.97%.
20) the Inventory Turnover ratio is
A) 0.43 times. B) 2.35 times. C) 3.47 times. D) 0.29 times.
$97,500 $90,000
$6,375,000 $4,312,500 $1,387,500 $135,000 $127,000 $412,500 $225,000 $187,500