Question
Question 27 Brooke Company had sales of $300,000 and NOPAT of $15,000. The company's invested capital is $656,250. What is the company's profit margin as
Question 27
Brooke Company had sales of $300,000 and NOPAT of $15,000. The company's invested capital is $656,250. What is the company's profit margin as it relates to investment center performance evaluation?
| A. | 45.7% | |
| B. | 5% | |
| C. | 48.0% | |
| D. | 2.3% |
2 points
Question 28
Dot Company's Dental Division has invested capital of $1,200,000, sales of $3,600,000, net income of $70,000, and NOPAT of $60,000. What is the division's turnover as it relates to investment center performance evaluation?
| A. | 5.00 | |
| B. | 0.33 | |
| C. | 1.67 | |
| D. | 3.00 |
2 points
Question 29
The produce division of Boot Ship Nutrition had invested capital of $800,000 last year. If the minimum required rate of return is 15% and last year's residual income was $60,000, how much was NOPAT?
| A. | $60,000 | |
| B. | $120,000 | |
| C. | $400,000 | |
| D. | $180,000 |
2 points
Question 30
Goal congruence refers to the match between
| A. | locations of manufacturing plants and customers. | |
| B. | goals of the individual managers and those of the company as a whole. | |
| C. | evaluations based on profits and those based on return on investment. | |
| D. | number of units produced and number of units sold. |
2 points
Question 31
The Banks Company prepares the statement of cash flows using the indirect method. The statement reported that cash provided by operating activities for the year was $8,000. If the company experienced a $14,000 decrease in accounts receivable, a $13,000 decrease in accounts payable, and a $4,000 decrease in inventory during the year, the company's net income(loss) must have been:
| A. | $13,000 | |
| B. | $3,000 | |
| C. | $5,000 | |
| D. | ($5,000) |
2 points
Question 32
Warlace Company provided the following information from its accounting records during the year:
| Acquired land by signing a loan | $ 150,000 |
| Proceeds from issuing stock | 90,000 |
| Dividends paid to stockholders | 55,000 |
| Proceeds from sale of building | 120,000 |
| Purchases of inventories | 45,000 |
| Collections from customers | 225,000 |
| Payment of loan | 50,000 |
How much is net cash provided (used) by financing activities?
| A. | $35,000 | |
| B. | $435,000 | |
| C. | $135,000 | |
| D. | ($15,000) |
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The Payroll Audit
Authors: Robert Leach
1st Edition
0955970792, 978-0955970795
