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______ measure the company' s ability to meet short-term obligations through the cash conversion cycle.A．Activity ratioB．Liquidity ratioC．Leverage ratioD．Profitability ratio
题目
______ measure the company' s ability to meet short-term obligations through the cash conversion cycle.
A．Activity ratio
B．Liquidity ratio
C．Leverage ratio
D．Profitability ratio
相似考题
更多“______ measure the company' s ability to meet short-term obligations through the cash conversion cycle.A．Activity ratioB．Liquidity ratioC．Leverage ratioD．Profitability ratio”相关问题
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第1题：
For the year just ended，N company had an earnings of$2 per share and paid a dividend of $1．2 0n its Stock．The growth rate in net income and dividend are both expected to be a constant 7 percent per year,indefinitely．N company has a Beta of 0．8，the risk-free interest rate is 6 percent，and the market risk premium is 8 percent．
P Company is very similar to N company in growth rate，risk and dividend payout rati0．It had 20 million shares outstanding and an earnings of$36 million for the year just ended．
The earnings will increase to$38．5 million the next year．
Requirement：
A．Calculate the expected rate of return on N company’S equity．
B．Calculate N Company’S current price—eaming ratio and prospective price-earning rati0．
C．Using N company’S current price-earning rati0，value P company’S stock price．
D．Using N company’S prospective price-earning rati0，value P company’S stock price．
正确答案：A.The expected rate of return on N company’s equity=6%+0.8×8%=12.4%
B.current price-earning ratio=(1.2/2) ×(1+7%)/(12.4%-7%)=11.89
Prospective price-earning ratio=(1.2/2)/(12.4%-7%)=11.11
C.P company’s stock=11.89×36/20=21.4
D.P company’s stock=11.11×36×(1+7%)/20=21.40
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第2题：
(b) Discuss the key issues which the statement of cash flows highlights regarding the cash flow of the company.
(10 marks)
正确答案：
(b) Financial statement ratios can provide useful measures of liquidity but an analysis of the information in the cash flow
statement, particularly cash flow generated from operations, can provide specific insights into the liquidity of Warrburt. It is
important to look at the generation of cash and its efficient usage. An entity must generate cash from trading activity in order
to avoid the constant raising of funds from non-trading sources. The ‘quality of the profits’ is a measure of an entity’s ability
to do this. The statement of cash flow shows that the company has generated cash in the period despite sustaining a
significant loss ($92m cash flow but $21m loss). The problem is the fact that the entity will not be able to sustain this level
of cash generation if losses continue.
An important measure of cash flow is the comparison of the cash from operating activity to current liabilities. In the case of
Warrburt, this is $92m as compared to $155m. Thus the cash flow has not covered the current liabilities.
Operating cash flow ($92 million) determines the extent to which Warrburt has generated sufficient funds to repay loans,
maintain operating capability, pay dividends and make new investments without external financing. Operating cash flow
appears to be healthy, partially through the release of cash from working capital. This cash flow has been used to pay
contributions to the pension scheme, pay finance costs and income taxes. These uses of cash generated would be normal for
any entity. However, the release of working capital has also financed in part the investing activities of the entity which includes
the purchase of an associate and property, plant and equipment. The investing activities show a net cash outflow of
$43 million which has been financed partly out of working capital, partly from the sale of PPE and AFS financial assets and
partly out of cash generated from operations which include changes in working capital. It seems also that the issue of share
capital has been utilised to repay the long term borrowings and pay dividends. Also a significant amount of cash has been
raised through selling AFS investments. This may not continue in the future as it will depend on the liquidity of the market.
This action seems to indicate that the long term borrowings have effectively been ‘capitalised’. The main issue raised by the
cash flow statement is the use of working capital to partially finance investing activities. However, the working capital ratio
and liquidity ratios are still quite healthy but these ratios will deteriorate if the trend continues. -
第3题：
(iii) Calculate the cash remaining in the company as a result of the salary and dividend payments made in
(ii) above. (1 mark)
正确答案：
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第4题：
Accounts receivables consist of the () obligations owed to the company by its clients.A. fixed
B. long-term
C. short-term
参考答案：A
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第5题：
– It’s our great pleasure to have you visit our company. --_________________
A、Thank you.
B、Nice to meet you.
C、It’s our pleasure, too.
D、Wonderful.
正确答案：C
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第6题：
For the year just ended, N company had an earnings of$ 2 per share and paid a dividend of $ 1. 2 on its stock. The growth rate in net income and dividend are both expected to be a constant 7 percent per year, indefinitely. N company has a Beta of 0. 8, the risk - free interest rate is 6 percent, and the market risk premium is 8 percent.
P Company is very similar to N company in growth rate, risk and dividend. payout ratio. It had 20 million shares outstanding and an earnings of $ 36 million for the year just ended. The earnings will increase to $ 38. 5 million the next year.
Requirement :
A. Calculate the expected rate of return on N company 's equity.
B. Calculate N Company 's current price-earning ratio and prospective price - earning ratio.
C. Using N company 's current price-earning ratio, value P company 's stock price.
D. Using N company 's prospective price - earning ratio, value P company 's stock price.
答案：解析：A. The expected rate of return on N company's equity =6% +0. 8*8% =12.4%
B. Current price -earning ratio = (1. 2/2) * (1 +7% )/ (12.4% -7% ) =11. 89
Prospective price - earning ratio = (1. 2/2) / (12. 4% - 70% ) =11. 11
C. P company's stock = 11. 89* 36/20 = 21. 4
D. P company's stock = 11. 11* 38. 5/20 = 21. 39
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第7题：
One effect of the increased use of cash was that( )A.an individual merchant no longer performed all aspects of trading operations
B.a company’s home office declined in importance
C.merchants no longer had to transport their goods to distant places
D.the volume of trade declined in areas lacking silver mines答案：A解析：细节题。根据题干关键词the use of cash定位到文章第一段的第二句。该句指出现金的广泛使用大大增加了国际贸易量，而且业务流程发生了根本的变化。下文阐述了变化表现在商人角色的演变，从几乎独自处理贸易业务的各个方面到分工更加细致。A项“个体商人不再从事贸易活动的所有方面”与之相符，属于同义替换。B项“公司总部的重要性下降了”、C项“商家不再需要把货物运输到遥远的地方了”和D项“在缺乏银矿的地区，贸易量下降了”均与原文不符。 -
第8题：
You are the network administrator for Company.Company’s Account Executives frequently travel to meet with customers. The Account Executives usetheir portable computers to demonstrate Company’s new software products. The Account Executivesneed to update these products frequently so customers can evaluate the latest software releases. The Account Executives also need to be able to change display settings on their portable computers.You need to allow the Account Executives the ability to install and update software products while limiting their ability to perform other administrative duties on their portable computers. You need to accomplish this with the least amount of administrative effort. What should you do?（）
- A、 Add the Account Executive’s user accounts to the local Administrators group on their portable computers.
- B、 Add the Account Executive’s user accounts to the Pre-Windows 2000 Compatible Access group.
- C、 Add the Account Executive’s user accounts to the local Power Users group on their portable computers.
- D、 Allow the Account Executive’s user accounts Full Control permission to the Program Files folder on their portable computers. Propagate the permissions to all the subdirectories and files in that directory.
正确答案:C -
第9题：
You need to recommend changes to the intranet site that meet the company’s technical requirements. What should you include in the recommendation？（）
- A、additional application pools
- B、additional worker processes
- C、Failover Clustering
- D、Network Load Balancing （NLB）
正确答案:D -
第10题：
单选题As a ship moves through the water，it drags with it a body of water called the wake. The ratio of the wake speed to the ship’s speed is called（）.Apropeller velocity
Bspeed of advance
Cwake distribution
Dwake fraction
正确答案： D解析： 暂无解析 -
第11题：
单选题The （） is used to measure the volume of a liquid or gas through a pipeline within any given period of time.Aflowmeter
Bviscometer
Cmicrometer
Dfeeler
正确答案： D解析： 暂无解析 -
第12题：
单选题The ratio of the height of a vessel’s rudder to its width is referred to as the（）.Aaspect ratio
Bconstriction ratio
Crudder ratio
Dsteering ratio
正确答案： D解析： 暂无解析 -
第13题：
24 Sigma’s bank statement shows an overdrawn balance of $38,600 at 30 June 2005. A check against the company’s cash book revealed the following differences:
1 Bank charges of $200 have not been entered in the cash book.
2 Lodgements recorded on 30 June 2005 but credited by the bank on 2 July $14,700.
3 Cheque payments entered in cash book but not presented for payment at 30 June 2005 $27,800.
4 A cheque payment to a supplier of $4,200 charged to the account in June 2005 recorded in the cash book as a receipt.
Based on this information, what was the cash book balance BEFORE any adjustments?
A $43,100 overdrawn
B $16,900 overdrawn
C $60,300 overdrawn
D $34,100 overdrawn
正确答案：A
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第14题：
The following information is relevant for questions 9 and 10
A company’s draft financial statements for 2005 showed a profit of $630,000. However, the trial balance did not agree,
and a suspense account appeared in the company’s draft balance sheet.
Subsequent checking revealed the following errors:
(1) The cost of an item of plant $48,000 had been entered in the cash book and in the plant account as $4,800.
Depreciation at the rate of 10% per year ($480) had been charged.
(2) Bank charges of $440 appeared in the bank statement in December 2005 but had not been entered in the
company’s records.
(3) One of the directors of the company paid $800 due to a supplier in the company’s payables ledger by a personal
cheque. The bookkeeper recorded a debit in the supplier’s ledger account but did not complete the double entry
for the transaction. (The company does not maintain a payables ledger control account).
(4) The payments side of the cash book had been understated by $10,000.
9 Which of the above items would require an entry to the suspense account in correcting them?
A All four items
B 3 and 4 only
C 2 and 3 only
D 1, 2 and 4 only
正确答案：B
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第15题：
Before making a loan, potential lenders determine the borrower's ability to meet ______.
A．scheduled payment
B．his creditor
C．the government's requirements
D．financial information
正确答案：A
解析：creditor债权人，贷款者。 -
第16题：
Which of the following measures a company’s ability to pay its current liabilities ().A.number of times interest charges earned
B.inventory turnover
C.earnings per share
D.current ratio
正确答案：D
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第17题：
KFP Co, a company listed on a major stock market, is looking at its cost of capital as it prepares to make a bid to buy a rival unlisted company, NGN. Both companies are in the same business sector. Financial information on KFP Co and NGN is as follows:
NGN has a cost of equity of 12% per year and has maintained a dividend payout ratio of 45% for several years. The current earnings per share of the company is 80c per share and its earnings have grown at an average rate of 4·5% per year in recent years.
The ex div share price of KFP Co is $4·20 per share and it has an equity beta of 1·2. The 7% bonds of the company are trading on an ex interest basis at $94·74 per $100 bond. The price/earnings ratio of KFP Co is eight times.
The directors of KFP Co believe a cash offer for the shares of NGN would have the best chance of success. It has been suggested that a cash offer could be financed by debt.
Required:
(a) Calculate the weighted average cost of capital of KFP Co on a market value weighted basis. (10 marks)
(b) Calculate the total value of the target company, NGN, using the following valuation methods:
(i) Price/earnings ratio method, using the price/earnings ratio of KFP Co; and
(ii) Dividend growth model. (6 marks)
(c) Discuss the relationship between capital structure and weighted average cost of capital, and comment on
the suggestion that debt could be used to finance a cash offer for NGN. (9 marks)
正确答案：
(b)(i)Price/earningsratiomethodEarningspershareofNGN=80cpersharePrice/earningsratioofKFPCo=8SharepriceofNGN=80x8=640cor$6·40NumberofordinarysharesofNGN=5/0·5=10millionsharesValueofNGN=6·40x10m=$64millionHowever,itcanbearguedthatareductionintheappliedprice/earningsratioisneededasNGNisunlistedandthereforeitssharesaremoredifficulttobuyandsellthanthoseofalistedcompanysuchasKFPCo.Ifwereducetheappliedprice/earningsratioby10%(othersimilarpercentagereductionswouldbeacceptable),itbecomes7·2timesandthevalueofNGNwouldbe(80/100)x7·2x10m=$57·6million(ii)DividendgrowthmodelDividendpershareofNGN=80cx0·45=36cpershareSincethepayoutratiohasbeenmaintainedforseveralyears,recentearningsgrowthisthesameasrecentdividendgrowth,i.e.4·5%.Assumingthatthisdividendgrowthcontinuesinthefuture,thefuturedividendgrowthratewillbe4·5%.Sharepricefromdividendgrowthmodel=(36x1·045)/(0·12–0·045)=502cor$5·02ValueofNGN=5·02x10m=$50·2million(c)Adiscussionofcapitalstructurecouldstartfromrecognisingthatequityismoreexpensivethandebtbecauseoftherelativeriskofthetwosourcesoffinance.Equityisriskierthandebtandsoequityismoreexpensivethandebt.Thisdoesnotdependonthetaxefficiencyofdebt,sincewecanassumethatnotaxesexist.Wecanalsoassumethatasacompanygearsup,itreplacesequitywithdebt.Thismeansthatthecompany’scapitalbaseremainsconstantanditsweightedaveragecostofcapital(WACC)isnotaffectedbyincreasinginvestment.Thetraditionalviewofcapitalstructureassumesanon-linearrelationshipbetweenthecostofequityandfinancialrisk.Asacompanygearsup,thereisinitiallyverylittleincreaseinthecostofequityandtheWACCdecreasesbecausethecostofdebtislessthanthecostofequity.Apointisreached,however,wherethecostofequityrisesataratethatexceedsthereductioneffectofcheaperdebtandtheWACCstartstoincrease.Inthetraditionalview,therefore,aminimumWACCexistsand,asaresult,amaximumvalueofthecompanyarises.ModiglianiandMillerassumedaperfectcapitalmarketandalinearrelationshipbetweenthecostofequityandfinancialrisk.Theyarguedthat,asacompanygearedup,thecostofequityincreasedataratethatexactlycancelledoutthereductioneffectofcheaperdebt.WACCwasthereforeconstantatalllevelsofgearingandnooptimalcapitalstructure,wherethevalueofthecompanywasatamaximum,couldbefound.Itwasarguedthattheno-taxassumptionmadebyModiglianiandMillerwasunrealistic,sinceintherealworldinterestpaymentswereanallowableexpenseincalculatingtaxableprofitandsotheeffectivecostofdebtwasreducedbyitstaxefficiency.Theyrevisedtheirmodeltoincludethistaxeffectandshowedthat,asaresult,theWACCdecreasedinalinearfashionasacompanygearedup.Thevalueofthecompanyincreasedbythevalueofthe‘taxshield’andanoptimalcapitalstructurewouldresultbygearingupasmuchaspossible.Itwaspointedoutthatmarketimperfectionsassociatedwithhighlevelsofgearing,suchasbankruptcyriskandagencycosts,wouldlimittheextenttowhichacompanycouldgearup.Inpractice,therefore,itappearsthatcompaniescanreducetheirWACCbyincreasinggearing,whileavoidingthefinancialdistressthatcanariseathighlevelsofgearing.Ithasfurtherbeensuggestedthatcompanieschoosethesourceoffinancewhich,foronereasonoranother,iseasiestforthemtoaccess(peckingordertheory).Thisresultsinaninitialpreferenceforretainedearnings,followedbyapreferencefordebtbeforeturningtoequity.TheviewsuggeststhatcompaniesmaynotinpracticeseektominimisetheirWACC(andconsequentlymaximisecompanyvalueandshareholderwealth).TurningtothesuggestionthatdebtcouldbeusedtofinanceacashbidforNGN,thecurrentandpostacquisitioncapitalstructuresandtheirrelativegearinglevelsshouldbeconsidered,aswellastheamountofdebtfinancethatwouldbeneeded.Earliercalculationssuggestthatatleast$58mwouldbeneeded,ignoringanypremiumpaidtopersuadetargetcompanyshareholderstoselltheirshares.Thecurrentdebt/equityratioofKFPCois60%(15m/25m).Thedebtofthecompanywouldincreaseby$58minordertofinancethebidandbyafurther$20maftertheacquisition,duetotakingontheexistingdebtofNGN,givingatotalof$93m.Ignoringotherfactors,thegearingwouldincreaseto372%(93m/25m).KFPCowouldneedtoconsiderhowitcouldservicethisdangerouslyhighlevelofgearinganddealwiththesignificantriskofbankruptcythatitmightcreate.ItwouldalsoneedtoconsiderwhetherthebenefitsarisingfromtheacquisitionofNGNwouldcompensateforthesignificantincreaseinfinancialriskandbankruptcyriskresultingfromusingdebtfinance. -
第18题：
The United States will do that which is necessary to meet its ______ to its own citizens.A.rules
B.promise
C.principles
D.obligations答案：D解析：本题考察词义辨析。题目意为“美国会尽其对国民应尽的义务。”A选项意为“规则，条例”，B选项意为“许诺，允诺”，C选项意为“原则，法则”，D选项意为“义务，债务”。根据题意，这里是国家对人民尽义务。
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第19题：
A company needs to implement an offsite backup method that is replicated and needs toguarantee that the data cannot be changed once it is replicated. Which of the following would meet the company’s needs？（）
- A、SAN
- B、WORM
- C、NAS
- D、CD-RW
正确答案:B -
第20题：
You need to recommend a solution for monitoring the servers. The solution must meet the company’s technical requirements What should you include in the recommendation？（）
- A、Data Collector Sets （DCSs）
- B、event subscriptions
- C、Reliability Monitor
- D、Windows System Resource Manager （WSRM）
正确答案:A -
第21题：
单选题Sacrifices to meet the particular emergency，such as loss of the ship’s tackle through using it for unusual purposes in order to secure her safety in specially difficult circumstances，（）the subject of a general average contribution.Ais
Bbe
Cwill be
Dto be
正确答案： C解析： 暂无解析 -
第22题：
单选题The ratio of r to s is 3 to 4. The ratio of s to t is 2 to 9. What is the ratio of r to t?A1 to 3
B1 to 6
C2 to 9
D3to10
E4 to 5
正确答案： E解析：
根据题干r/s=3/4，s/t= 2/9，所以s=(2t)/9。因为r/s=3/4，r/s=r/{(2t)/9}=3/4，(9r)/(2t)=3/4，所以r/t=(3/4)(2/9)=1/6，故选B。 -
第23题：
单选题If the measures of the angles of a triangle are in the ratio of 2：3：4, what is the measure of the smallest angle of the triangle?A20
B25
C30
D40
E45
正确答案： E解析：
Let 2x, 3x, and 4x represent the measures of the three angles. 2x+3x+4x=180, x=20. Hence 2x=40.