Q1,

2014

2015

Accounts receivable turnover

2014: 7.2

2015: 6.9

Inventory turnover

2014: 3.7

2015: 3.5

Accounts payable turnover

2014; 7.2

2015: 8.1

What are the operating cash cycle periods for 2014 and 2015?

Q2,Resolute Bhd has a quick ratio of 1.2:1 and its current liabilities amount to RM200,000. If it purchased RM40,000 of inventory on credit, what will happen to the new quick ratio?

Select one:

A. No change. The ratio is not affected by the transaction

B. Higher

C. Lower

D. The effect cannot be determined

Q3, Glory Ltd had a long-term debt of $1,000,000. To repay this debt the company deposited $250,000 to the lender's account and issued $750,000 of shares to the lender. What were the effects of the repayment of the debt on the statement of cash flows?

Select one:

A. Cash outflow under financing activities of $1,000,000

B. Cash inflow under investing activities of $750,000

C. Cash outflow under financing activities of $250,000

D. No effect