1. calculate cost of goods sold

sales 78500

net income 5450

inventory 12600

cost ratio 40%

2. security analysis may be conducted by

a. only investors themselves

b. only professional analysts

c. investors and professional anaysts

d. none of the above

3. annual reports are in a sense evaluations of managements performance but since they are prepared by management they are likely to: a.exclude the details of management discussion and anlaysis

b. portray the firms past performance in a most favorable light.

c. give the shareholders the opprotunity to objectively evaluate managements day to day peformance during the past year

d. exclude the details of the minority interest groups