Balance Sheet is based upon which of the following formula?

Related Mcqs:

1. In balance sheet, sum of retained earnings and common stock are considered as_____________?

   A. Preferred equity
   B. Due equity
   C. Common perpetuity
   D. Common equity

2. Accounts payable, accruals and notes payable are listed on balance sheet as________?

   A. Accrued liabilities
   B. Current liabilities
   C. Accumulated liabilities
   D. Non-current liabilities

3. In capital budgeting, a technique which is based upon discounted cash flow is classified as ___________?

   A. net present value method
   B. net future value method
   C. net capital budgeting method
   D. net equity budgeting method

4. The formula to calculate the present value of a single cash flow is given by:

   A. CF1 / (1+r)n
   B. C2 / (1+r)
   C. C0 + C (1+r)n
   D. None of these

5. Formula such as net income available for common stockholders divided by total assets is used to calculate__________________________?

   A. Return on total assets
   B. Return on total equity
   C. Return on debt
   D. Return on sales

6. Total assets divided common equity is a formula uses for calculating___________?

   A. Equity multiplier
   B. Graphical multiplier
   C. Turnover multiplier
   D. Stock multiplier

7. Price per share divided by earnings per share is formula for calculating_________?

   A. Price earnings ratio
   B. Earning price ratio
   C. Pricing ratio
   D. Earning ratio

8. A formula of after-tax component cost of debt is___________?

   A. Interest rate-tax savings
   B. Marginal tax-required return
   C. Interest rate + tax savings
   D. Borrowing cost + embedded cost

9. A formula such as net income available to common stockholders divided by common equity is used to calculate __________?

   A. return on earnings power
   B. return on investment
   C. return on common equity
   D. return on interest

10. The total assets divided by common equity is a formula uses for calculating _________?

    A. equity multiplier
    B. graphical multiplier
    C. turnover multiplier
    D. stock multiplier