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Multiple Choice Question 51
You are provided the following working capital information for the Ridge Company:
Ridge Company
Account
$ Inventory
$12,890
Accounts receivable
12,800
Accounts payable
12,670
Net sales
$124,589
Cost of goods sold
99,630
Cash conversion cycle: What is the cash conversion cycle for Ridge Company?
A. 38.3 days
B. 46.4 days
C. 83.5 days
D. 129.9 days
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Multiple Choice Question 30
Payout and retention ratio: Drekker, Inc., has revenues of $312,766, costs of $220,222, interest payment of $31,477, and a tax rate of 34 percent. It paid dividends of $34,125 to shareholders. Find the firm's dividend payout ratio and retention ratio.
A. 85%, 15%
B. 55%, 45%
C. 15%, 85%
D. 45%, 55%
Download now FIN 571 Entire Course Multiple Choice Question 75
Firms that achieve higher growth rates without seeking external financing
E. are highly leveraged.
F. none of these.
G. have less equity and/or are able to generate high net income leading to a high ROE.
H. have a low plowback ratio.
Multiple Choice Question 67
The strategic plan does NOT identify
I. working capital strategies.
J. the lines of business a firm will compete in.
K. major areas of investment in real assets.
L. future mergers, alliances, and divestitures.
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Multiple Choice Question 41
Which of the following does maximizing shareholder wealth not usually account for?
A. The timing of cash flows.
B. Amount of Cash flows.
C. Risk.
D. Government regulation.
Multiple Choice Question 80
Which of the following cannot be engaged in managing the business?
E. a sole proprietor
F. a general partner
G. none of these
H. a limited partner
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