Q1. Identify the right and the wrong statement from the following: 1. Economic provides structure for decision making while accounting provides the finance link with economy 2. Cost of capital is one of the main elements to be considered in financial decision making 3. A corporation is an entity which owned by shareholders who enjoy the privilege of limited liability 4. Income statement indicates the assets owned by the firm 5. Gross profit is the absolute difference between all incomes and all expenses including cost of goods 6. Balance sheet is one of the errors and fraud free financial sheets 7. Margin profit is the ratio between the assets and the invested capital 8. Return on investment is the ratio between the total investment and the net profit 9. Financial Structure is the ratio between total investment and the equity 10. Proforma sheet is an accrual that assuming all the payment and received cash will be on time 11. Break-even-analysis determines the optimum profitable production level 12. Economic order quantity indicates the number of annual procurement times 13. Cash flow indicates when we need/receive how much money 14. Safety stock in inventory control ensures the availability of the maximum quantity items 15. Assets turnover is the ratio between the assets and the annual investment 000000000000000 Q2. The holding cost in a company working in food industries is SAR 1.2 per unit. The ordering cost is SAR 245 per order. If the company must secure a quantity of 750,000 units per year, identify the following: (15 points a. Economic order quantity: b. Number of orders per year: c. If the item price is SAR 200, what is the holding total annual cost