题目内容

For a firm financed with common stock and fixed-rate debt, an analyst should most appropriately adjust which of the following items for a change in market interest rates

A.

A. Debt-to-equity ratio.

B.
B. Interest expense.

C.
C. Deferred tax liabilities.

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The prevailing wind is the wind direction most often observed during a given time period. Wind speed is the rate at which the air moves past a stationary object.

A. motionless
B. massive
C. flexible
D. noticeable

According to the installment method of accounting, gross profit on an installment sale is recognized:()

A. on the date of sale.
B. on the date the final cash collection is received.
C. in proportion to the cash collection.

Which of the following is the appropriate redemption price when bonds are called according to the sinking fund provision

A.

A. Special redemption price.

B.
B. Regular redemption price.

C.
C. General redemption price.

Two growing companies are identical except that Company X capitalizes whereas Company Y expenses costs for long-lived resources. Which of the following statements about financial statement effects is FALSE Company X will show:

A.

A. lower income variability.

B.
B. higher leverage ration.

C.
C. higher cash flows from operations.

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