SECTION 2 Multiple Choice 21 marks (3 mark each: 1.5 for work and 1.5 for correct answer) 1) Silver City Ltd reported current liabilities of S700,000, total assets of $12,000,000, and shareholders equity of $5,000,000 on its July balance sheet. Which of the following would the business have to have reported to complete the balance sheet equation? A) $14,790,000 in long-term liabilities B) S6,300,000 in long-term liabilities C) $10,040,000 in long-term liabilities D) $10,040,000 in accumulated amortization Winston's Musical Instruments expects to make purchases of $210,000. It anticipates an opening inventory of $75,000 and closing inventory of $15,000. If its Sales Revenue is $250,000, what will the Company's cost of goods sold be? 2) A) $247,000 B) $346,030 C) $266,000 D) $270,000 3) The financial statements of a company provided the following information: sales revenue equals $4,482,000, gross margin equals $2,689,000, EBIT equals $600,000, net income equals $204,000, current liabilities equal S700,000, long-term liabilities equal $2,100,000, common shares equal S2.5 million, preferred shares equal $1.25 million, retained earnings equal $275,000. The return on capital employed (ROCE) for the company is A) 2.6% B) 390 C) 6.9% D) 10.3% f harrel of oilis expected