plz do it asap

True or False

1.On the balance sheet, if assets increase and liabilities are unchanged then owners equity would also increase.

2. Market value can be greater than book value.

3. Profits equal cash.

_____4. On a year to year basis, cash balances on a companys balance sheet will increase by the amount of profits a company earns.

_____5. The current ratio measures the profitability of a company.

_____6. The gross profit margin will always be higher than the operating profit margin.

_____7. Over time money loses value.

_____8. An annuity represents periodic payments of the same amount.

_____9. Since it is an expense depreciation reduces a companys cash flow.

_____10. One potential source of cash for a company is investing.

Questions 11 - 15 Multiple Choice (5 Points Each)

_____11. Which profit margin would be greatest

A) gross B) operating C) net

_____12. Which type of ratio analysis compares a companys performance to that of competitors

A) time series B) cross sectional C) neither A or B

_____13. Liabilities equal:

A) assets B) owners equity

C) assets minus owners equity

_____14. Which financial statement is prepared at a specific point of time?

A) balance sheet B) income statement C) cash flow statement

_____15. Information needed to derive profitability ratios would be sourced from which financial statement?

A) balance sheet B) income statement C) both A and B

Questions 16 - 20 Problems (5 Points Each)

_____16. At year end December 31, 2019 a companys current assets were $327,621 and current liabilities were $174,621 the companys current ratio would be

A) 1.88 B) 2.00 C) 1.75

_____17. A company has revenues of $123,450, cost of goods sold of $61,518 and operating expenses of $49,523. What is the companys operating profit margin?

A) 89.9% B) 10.1% C) 40.1%

_____18. A company has an operating profit of $15,476 and interest expense of $8,461. What is the interest coverage ratio?

A) 1.83 B) 0.45 C) neither A or B

_____19. You make one $2,000 investment for 7 years and earn interest at a rate of 4.5% annually. How much will you have after 7 years? $2,721.72

_____20. You will receive $10,000 in 5 years. If the discount (interest rate) is 6.25% how much is that amount worth today? $7,385.08