Assume the following in Excel: Cell A1 = before-tax cost of $20, cell B1 = After-tax cost of $21.20. Which of the following formulas would represent the correct calculation of the tax rate ?

A) B1 - A1

B) (B1 - A1)/B1

C) A2 - B1

D) B2 - A1

Assume the following in Excel: Cell A1 = Gross fixed assets for 2015, Cell B1= Gross Fixed assets for 2016, Cell A2 = Net working capital for 2015, and cell B2 = net working capital for 2016. The correct formulas for computing reinvestment for maintenance of day to day operations in 2016 would be

A) B1 - A1

B) B2 - A2

C) A2 - B1

D) B2 - A1

When firms account receivables go down, this is the result of ______ paying off a short-term loan for serves as a _______ of funds for the firm.

A) Suppliers, Use

B) Customers, source

C) the firm, Use

D) Suppliers, source

A review of Heritage Corporations cash coverage ratio increased from 2015 to 2016. this could have been the result of

A) Heritage managing its cash and interest expenses so that its degree of solvency deteriorated from 2015 to 2016

B) Heritage deciding to hold more cash per dollar of interest expense in 2016 and 2015.

C) both cash and interest expense having increased in 2016 but cash growing at a slower rate.

D) None of the above would be consistent with an increase in the cash coverage