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QUESTION 5 Which of the following choices concerning methods of financial statement analysis are true? A. The numerators and denominators of financial statement ratios must

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QUESTION 5 Which of the following choices concerning methods of financial statement analysis are true? A. The numerators and denominators of financial statement ratios must come from the same financial statement. B. It is not possible to perform a vertical analysis of a balance sheet because the balance sheet does not contain "total net revenues." C. A common-size statement removes dollar value bias when comparing companies of different sizes. D. None of the above. QUESTION 6 Big Restaurant is considering purchasing a chicken broaster. The broaster sells for $80.000 and is expected to result in annual net cash inflows of $25,000 each year for its 7-year useful life without any residual value at the end of that life. Assume Big's cost of capital (the discount rate) is 10%. What is the net present value (NPV) of the grill? A.$74,775 B. $94.775 C. $121,700 OD. None of the above

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