Question
1)Which of the following is NOT a component of the DuPont formula for profitability analysis? A)Profit Margin B) Asset Turnover C) Current Ratio D) All
1)Which of the following is NOT a component of the DuPont formula for profitability analysis?
A)Profit Margin
B) Asset Turnover
C) Current Ratio
D) All of the above are components of the DuPont Formula
2)In a Statement of cash Flows prepared according to US GAAP, which of the following events will appear in the cash flows from financing activities section of the statement of cash flows?
A) Cash purchases of equipment
B)Cash purchases of bonds issued by another company.
C)Cash received as repayment for funds loaned
D)Cash purchase of treasury stock
3)Which of the following is added to net income as an adjustment under the indirect method of preparing the statement of cash flows?
A)Inventory increase.
B)Gain on the sale of land
C)Depreciation expense
D)Accounts receivable increase
4)In a Cash Flow Statement prepared according to US GAAP, cash flows from investing activities do not include cash flows from:
A)Lending money to another corporation
B)The sale of equipment.
C)The proceeds from the issuance of long term bonds.
D)The purchase of other corporation's securities.
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