1. Your firm has net income of $324 on total sales of $1,200. Costs are $670 and depreciation is $120. The tax rate is 21 percent. The firm does not have interest expenses. What is the operating cash flow?

Multiple Choice

1. $444
2. $734
3. $410
4. $530
5. $324

2. Retirement Investment Advisors, Incorporated, has just offered you an annual interest rate of 5 percent until you retire in 40 years. You believe that interest rates will increase over the next year and you would be offered 5.6 percent per year one year from today. If you plan to deposit $16,000 into the account either this year or next year, how much more will you have when you retire if you wait one year to make your deposit?

Multiple Choice

1. $20,325.41
2. $31,151.84
3. $29,981.55
4. $6,307.83
5. $21,331.79