99 Information found in the income statement does NOT help users to______________ Select one: a. help assess the risk of not achieving future cash flows. b. calculate the exact amount of future dividends. c. evaluate the past performance of the enterprise. d. provide a basis for predicting future performance.
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Information found in the income statement does NOT help users to______________
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- ___________ is the possible loss of revenue resulting mainly from a decline in the revenue base. Group of answer choices Investment risk Debt-related risk Revenue risk Insurance riskWhich of the following is a disadvantage of the average rate of return method? a. fails to consider the time value of money b. includes the amount of income earned over the entire life of the proposal c. emphasizes accounting income d. difficult to useA financial manager’s goal of maximizing current or short-term earnings may not be appropriate because a. earnings are subjective; they can be defined in various ways such as accounting or economic earnings b. increased earnings may be accompanied by unacceptably higher levels of risk c. All of the choices d. it fails to consider the timing of the benefits
- The expected value of an accountant's profit and loss analysis is 0. Explain what this means. Question content area bottom Part 1 Choose the correct answer below. A. Since the expected value cannot be less than 0, an expected value of 0 means that the average money gained is equal to or less than the average money spent. B. An expected value of 0 means that there was not any money gained or spent. C. An expected value cannot be equal to 0. D. An expected value of 0 means that the average money gained is equal to the average money spent, representing the break-even point.Comment on the following statements with suitable example: i. The ratio return on assets has net income in the numerator and total assets in the denominator. Explain how each part of the ratio could cause return on assets to fall. ii. Explain how return on assets could decline, given an increase in net profit margin. iii. If quoted market prices are not available, a personal financial statement cannot be prepared. Comment.The objectives of financial management are Select one: O a. None of the options O b. Profit maximization and wealth maximization O c. Wealth maximization O d. Maximize profits and reduce the employees O e. Profit maximization
- 1.How can exit value accounting be used to assess the financial risk of a balance sheet. 2.Evaluate the argument that a mixed or piecemeal approach to standard setting is required in order to ‘better’ measure profit and financial position. 3.Explain how both exit price and current entry price accounting systems can be used to make decisions about retaining or selling assets.When using EBITDA instead of net income to measure a firm's why are operational characteristics, depreciation and amortization expense added back? O A. Depreciation and amortization expense are superficial. OB. Depreciation and amortization expense represent expenses from an accounting standpoint but don't represent actual cash outflows. O C. Depreciation and amortization expense are random numbers and can be ignored. D. Depreciation and amortization expense represent an insignificant cash outflow for a business.Which of the following statements regarding liabilities is not true? a. Liabilities can be for services rather than cash.b. Liabilities are reported in the balance sheet for almost every business.c. Liabilities result from future transactions.d. Liabilities represent probable future sacrifices of benefits.
- Plz explain in detailInvestment decision function in finance is about اخترأحد الخيارات a. Reducing the liability b. None of the options c. Usage of money on a production process of products and services d. Use of capital for financing assets to receive returnsSuppose that Gyp Sum Industries currently has the balance sheet shown below, and that sales for the year just ended were $10.2 million. The firm also has a profit margin of 30 percent, a retention ratio of 20 percent, and expects sales of $8.2 million next year. Current assets $2,124,000 Fixed assets 4,200,000 Assets Liabilities and Equity Current liabilities Long-term debt Equity Total assets $6,324,000 Total liabilities and equity $ 6,324,000 If all assets and current liabilities are expected to shrink with sales, what amount of additional funds will Gyp Sum need from external sources to fund the expected growth? (Enter your answer in dollars not in millions. Negative amount should be indicated by a minus sign.) Sales last year Profit margin Retention ratio Sales next year Assets Current liabilities $ 1,707,480 1,600,000 3,016,520 $ 10,200,000 30% 20% 8,200,000 6,324,000 1,707,480