CFIN FINAL || with 100% Correct Answers.

What statement gives cash flows for the period? correct answers Statement of cash flows What statement gives comprehensive earnings for the period correct answers Income statement Which statement shows investments and dividends correct answers Statement of owners equity What statement shows financial position at years end correct answers Balance sheet What statements record a firms financial situation on a single day correct answers Statement of financial position and statement of cash flows What makes up the DuPont formula correct answers Net income / sales Sales / assets Assets / equity Management can improve its ROA by reducing investments, property, plant and equipment correct answers TRUE What ratios cannot be compared among firms? correct answers EPS (this Varys among firms) What does financial strength ratios measure? correct answers How a company is capitalized Operating performance ratios indicate a firms earning power correct answers TRUE What is included in current assets correct answers cash, accounts receivable, inventory What is included in current liabilities correct answers Notes payable, accounts payable, accrued expenses How can a company reduce its working capital position correct answers It can't What benefits can I cure to a company which reduces is investment an inventory? correct answers Less dependent on short term credit , improved Cash flow What potential hazards arise, when a company reduces its investment in inventory? correct answers Lost sales, if it overly restricts the amount of inventory that carriEs What does the sustainable growth calculation measure? correct answers How quickly a firm can expand its asset base without raising external capital What is an effective way to discern trends in a company? correct answers Horizontal percentage, vertical percentage and ratio analysis