FIN2601
Assignment 1
COMPLETE
ANSWERS)
Semester 2
2024
[Type the document subtitle]
, [Pick the date]
[Type the company name]
Book
Financial Management
FIN2601 Assignment 1 COMPLETE ANSWERS) Semester 2 2024 - DUE
August 2024 ; 100% TRUSTED Complete, trusted solutions and explanations.
Ensure your success with us..
Question 1 Complete Mark 1.00 out of 1.00 QUIZ Which of the following
statements are correct if a company focuses on profits as financial goal? a)
Risk is ignored. b) The share price is ignored. c) The size of the investment
required to generate the profit is ignored. 1. a and b 2. c and a 3. b and c 4. a,
b and c Question 2 Complete Mark 1.00 out of 1.00 Question 3 Complete
Mark 1.00 out of 1.00 Which one of the following best describes a capital
market? 1. A financial relationship created by institutions and arrangements
that allow suppliers and demanders of short-term funds to make transactions.
2. An intangible market for the purchase and sale of securities not listed on
organised exchanges. 3. A market that allocates funds to their most
productive uses as a result of competition among wealth-maximising
investors. 4. A financial relationship created by institutions and arrangements
that allow suppliers and demanders of long-term funds to make transactions.
The Harddrive, the technology consulting company, given its earnings before
interest and tax (EBIT) is R. The company’s time interest earned (TIE) ratio is
8,0, its tax rate is 35%, and its total assets turnover ratio is 1,25 with a sales
value of R800 000. What is the company’s return on assets (ROA)? 1. 5,63%
2. 14,21% 3. 17,77% 4. 22,32% Question 4 Complete Mark 1.00 out of 1.00
Question 5 Complete Mark 1.00 out of 1.00 Financial reporting provides
information about a company’s economic resources and the claims to those
resources and various parties have varying objectives when they examine a
company’s financial statements. Which of the following statement is least
correct when analysing ratios? 1. Liquidity ratios measures the company
ability to meet its financial obligation in the long run. 2. Activity ratios
measures the efficiency with which accounts are converted into investments.
Assignment 1
COMPLETE
ANSWERS)
Semester 2
2024
[Type the document subtitle]
, [Pick the date]
[Type the company name]
Book
Financial Management
FIN2601 Assignment 1 COMPLETE ANSWERS) Semester 2 2024 - DUE
August 2024 ; 100% TRUSTED Complete, trusted solutions and explanations.
Ensure your success with us..
Question 1 Complete Mark 1.00 out of 1.00 QUIZ Which of the following
statements are correct if a company focuses on profits as financial goal? a)
Risk is ignored. b) The share price is ignored. c) The size of the investment
required to generate the profit is ignored. 1. a and b 2. c and a 3. b and c 4. a,
b and c Question 2 Complete Mark 1.00 out of 1.00 Question 3 Complete
Mark 1.00 out of 1.00 Which one of the following best describes a capital
market? 1. A financial relationship created by institutions and arrangements
that allow suppliers and demanders of short-term funds to make transactions.
2. An intangible market for the purchase and sale of securities not listed on
organised exchanges. 3. A market that allocates funds to their most
productive uses as a result of competition among wealth-maximising
investors. 4. A financial relationship created by institutions and arrangements
that allow suppliers and demanders of long-term funds to make transactions.
The Harddrive, the technology consulting company, given its earnings before
interest and tax (EBIT) is R. The company’s time interest earned (TIE) ratio is
8,0, its tax rate is 35%, and its total assets turnover ratio is 1,25 with a sales
value of R800 000. What is the company’s return on assets (ROA)? 1. 5,63%
2. 14,21% 3. 17,77% 4. 22,32% Question 4 Complete Mark 1.00 out of 1.00
Question 5 Complete Mark 1.00 out of 1.00 Financial reporting provides
information about a company’s economic resources and the claims to those
resources and various parties have varying objectives when they examine a
company’s financial statements. Which of the following statement is least
correct when analysing ratios? 1. Liquidity ratios measures the company
ability to meet its financial obligation in the long run. 2. Activity ratios
measures the efficiency with which accounts are converted into investments.
