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please ans all QUESTION 2 When an investor is evaluating whether to purchase stock in a company, which of the following considerations is most important?

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QUESTION 2 When an investor is evaluating whether to purchase stock in a company, which of the following considerations is most important? Will working capital be sufficient to support growth? Will the key ratios be reported on the balance sheet? Will cash flows from operations exceed net income in the coming years? Will the company earn a satisfactory return on the amount invested by stockholders? QUESTION 3 A company reported the following information: 2014 550.000 43,000 29.000 100.000 11,000 2013 $ 65,000 40.000 39,000 Accounts receivable Inventories Accounts payable Net income Depreciation expense If the indirect method is used to prepare the operating activities section of the statement of cash flows. what amount will be reported as net cash inflow from operating activities for 2014? 592,000 QUESTION 3 A company reported the following information: Accounts receivable Inventories Accounts payable Net income Depreciation expense 2014 $50,000 43,000 29,000 100,000 11,000 2013 $ 65,000 40,000 39,000 If the indirect method is used to prepare the operating activities section of the statement of cash flows, what amount will be reported as net cash inflow from operating activities for 2014? 592.000 $109,000 5111,000 $113,000 QUESTION 4 Which of the following would report the market price of the company's stock? balance sheet. income statement. statement of cash flows. Item 5 in Form 10-K. QUESTIONS Rags to Riches Selected data from the financial statements are provided below: Accounts Receivable Inventory Total Assets Net Sales Cost of Goods Sold 2015 $ 120.000 24,000 900,000 760.000 320,000 2014 $ 76,000 32.000 760.000 540.000 420.000 Refer to Rags to Riches. Which of the following would result from a horizontal analysis of the company's income statement? Rags to Riches Selected data from the financial statements are provided below: Accounts Receivable Inventory Total Assets Net Sales Cost of Goods Sold 2015 $ 120,000 24,000 900,000 760,000 320.000 2014 $ 76,000 32,000 760,000 540,000 420,000 Refer to Rags to Riches. Which of the following would result from a horizontal analysis of the company's income statement? Cost of goods sold is 42.1% of net sales for 2015. Gross profit is 57.9% of net sales for 2015. Cost of goods sold decreased 23.89 from 2014 to 2015. Inventory decreased $4,000 or 20% during 2014 QUESTION 7 Which of the following transactions is not a significant noncash investing and financing activity? Land is purchased by issuing a 20-year mortgage note payable. Bonds are issued to purchase a building. Cash equivalents are purchased. Buildings are acquired by issuing common stock. QUESTION 8 A particular balance sheet includes the following information within the stockholders' equity section: Common stock $5 par value Paid-in capital in excess of par $ 300,000 1,740,000 Assume that common stock is the only class of stock that has been issued and that there have been two issues of stock since the corporation began business. What is the average issue price per share of stock? 55.00 $ 6.80 529.00 534.00 QUESTION 9 Assume that a company's current ratio is 2.0. If the company purchases inventory on credit, which of the following is true? The current ratio will increase. The current ratio will decrease. There will be no net impact on the current ratio. The current ratio will change, but there will be no effect on the quick ratio. QUESTION 10 Which of the following results is generally considered favorable? A large decrease in the accounts receivable turnover ratio An increase in the inventory turnover ratio An increase in sales along with a larger decrease in the gross profit percentage. A decrease in the operating cash flow ratio

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