76.Refer to the information above. What is the current ratio?
A. 1.2 to 1.
B. Less than 2 to 1, but not 1.2 to 1.
C. 2.6 to 1.
D. More than 2 to 1, but not 2.6 to 1.
77.Refer to the information above. Working capital equals:
A. $560,000.
B. $530,000.
C. $270,000.
D. $900,000.
78.Refer to the information above. Bill's debt ratio is:
A. 22%.
B. 27%.
C. 57%.
D. 49%.
79.If a retail store has a current ratio of 2.5 and working capital of $117,000. What are the total of the current assets?
A. $46,800.
B. $117,000.
C. $195,000.
D. $292,500.
80.The Piazza Company has working capital of $540,000 and current assets of $810,000. The current ratio is:
A. 0.67.
B. 1.50.
C. 2.00.
D. 3.00.
81.All of the following captions or subtotals are typical of a multiple-step income statement,
except:
A. Net sales.
B. Gross profit.
C. Total costs and expenses.
D. Operating income.
82.The gross profit rate represents:
A. Total sales revenue.
B. The percentage change in net sales from the prior period.
C. The percentage of sales revenue remaining after providing for the cost of the merchandise sold.
D. Net income stated as a percentage of total sales revenue.
83.A rising gross profit rate most strongly suggests:
A. An increase in physical sales volume.
B. Strong consumer demand for the company's products.
C. Intense competition.
D. Increased short-term solvency.
84.Operating income excludes each of the following,
except:
A. Interest expense.
B. Income taxes.
C. Depreciation.
D. Purchase discounts lost.
85.In calculating earnings per share, the denominator of the equation includes:
A. Only common stock outstanding.
B. Common stock plus preferred stock.
C. Common stock less preferred stock.
D. The total shares of authorized common stock.