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Question 1 : - Using a lockbox system to improve collections a ) is more expensive than the use of collection centers b ) utilizes

Question 1:- Using a lockbox system to improve collections
a) is more expensive than the use of collection centers
b) utilizes local banks to clear local payments made to the collection center
c) provides more float than collection centers
d) results in checks being forward to a P.O. box and clearing through local banks
Question 2:- EPS =___________/ Total number of shares
a) profit after tax
b) net profit after interest and tax
c) net profit before tax
d) earning before tax
Question 3:- If the expected level of EBIT exceeeds the indifference point
a) Debt financing will be advantages
b) Equity financing will be advantages
c) EPS will reduce
d) EPS will increse

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