2. If you borrow $30,000 today and repay it with quarterly payments of $1003 over 10 years. If the rate is compounding quarterly, what APR are you paying?

A. 6.8% B. 6.56% C. 6.4% D. 6.0% E. 5.8%

4. Heres some info for a company:

Total asset turnover = 3.0 Total liabilities = $50,000,000 Coverage ratio= 4.0

Profit margin = 5% Stockholders equity = $10,000,000

What is the companys net income?

A. $4.5 million

D. $9 million

B. $6 million

E. $12 million

C. $8 million

5. Heres some info for a company:

Total assets = $50,000,000 Total liabilities = $20,000,000

Profit margin = 5%

Return on equity = 20%

What is the companys total asset turnover?

A. 1.2

D. 2.0

B. 1.50

E. 2.4

C. 1.6

6. How many of the below would usually be found onthe income statement?

A. 3

B. 4

C. 5

D. 6

E. 7

Cost of goods sold

Accounts receivable

Taxes

Marketable securities

Inventory

Sales

Net Income

Operating expenses

Stockholder's Equity

Accounts payable

Interest expense

Notes payable

7. If you borrow $30,000 today and your monthly payments are $961.68, how many payments must you make to pay off the loan if you are being charged 6%APR compounded monthly?

A. 29 B. 31 C. 32 D. 34 E. 36

Heres some info for a company:

Sales = $20 million Total asset turnover = 2.5X

Profit margin = 5%

Leverage ratio = 2.0

8. What is the companys return on equity?

A. 10%

D. 25%

B. 12% E. 40%

C. 20%

9. If you borrow $28,000 today and repay it over 12 years with quarterly payments of $950.40, what

annual percentage rate are you being charged if theres quarterly compounding?

A. 8.2% B. 8.6% C. 8.8% D. 9.2% E.9.6%