False Questions 1. Vertical analysis compares the results of financial information with a business in the same industry for a number of consecutive periods of time. True False 2. The quick ratio is especially useful in evaluating the liquidity of a company with fast moving inventories. True False 3. Deducting the cost of goods sold from net income gives us operating income. True False 4. The gross profit rate is gross profit expressed as a percentage of net sales. True False
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especially size of debtors and inventory are important factors. Significance of working capital also increases‚ as it is directly associated to the liquidity position of the corporate. However‚ in some cases‚ current assets are lower as compared to current liabilities (known as negative working capital) then how can a firm manage the level of liquidity. Negative working capital arises in cash base business‚ efficient utilisation of resources and sound inventory management etc‚ which leads to minimum
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CORPORATE LIQUIDITY‚ CASH FLOW SENSITIVITY‚ AND INVESTMENT DECISION Written by: Destria Kurnianti 10/309731/PEK/15164 Ratified on 18 Januari 2012 Supervisor Prof. Marwan Asri‚ MBA‚ Ph.D INTRODUCTION Modigliani and Miller (1958)‚ in a perfect market conditions there is no relationship between investment decisions and financing decisions. Although the assumption of perfect markets is eliminated‚ the separation between investment decisions and financing
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this research was to see if a $20 device called a GAT could lure male mosquitos to a trap. If the mosquitos can be lured then researchers will be able to monitor them and sterilize them making it easier to monitor the population. What general methods/approaches are used in the research The researchers broadcasted frequencies from four small nylon tent. Three of the tents emitted a single tone and the fourth trap was silent. One frequency was 484 Hz‚ the second one was 560 Hz‚ and the third was 715
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tutor2u™ Working Capital Introduction to the Management of Working Capital AS & A2 Business Studies PowerPoint Presentations 2005 Introduction • All businesses need cash to survive • Cash is needed to: – Invest in fixed assets – Pay suppliers and employees – Fund overheads and other fixed costs – Pay tax due to the Government • Nearly all businesses use much of their cash resources to finance investment in “working capital” • Managing working capital effectively is
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financial strengths and weaknesses of a company in order to ensure that it is doing everything within its power to ensure that it is operating at its peak in order to survive. After a thorough examination of certain measures of the profitability and liquidity of Arapahoe-Goldstein Supermarkets‚ Inc. we have come to the conclusion that the company‚ while on the right track to make a recovery‚ is currently in a dire situation financially. Indicators and financial analysis ratios within the company indicate
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(700-350)/300 = 1.17:1 Year 1 acid test ratio = (500-250)/200 = 1.25:1 Answer b) JKL’s liquidity position is quite good. In‚ both the years the current asset ratio shows that there is sufficient liquidity/working capital in the firm. For example in year 2 for every 1$ JKL has 2.33 $ of current asset. Though there is a slight fall in the current asset ration compared to year 1‚ it doesn’t necessarily indicates poor liquidity as a high current asset ratio means that you are not using resources efficiently
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Bottom Billion” he addresses the reasons why particular countries like Haiti‚ Bolivia‚ Cambodia‚ North Korea‚ and Africa are currently in poverty. Collier’s believes there are four traps that people little attention to‚ “the conflict trap‚ the natural resources trap‚ the trap of being landlocked with bad neighbors‚ and the trap of a bad governance in a small country.” (Collier 5) He also stresses since 1980 world poverty is falling for the first time in history (Collier x) and the bottom countries are
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Critically evaluate the importance of discounted cash flow techniques in investment decisions. Illustrate your answer with your examples. 3. Discuss the relative importance profitability and liquidity for the survival of a business and explain how the working capital can be managed to minimise the risk of liquidity problems. Shahrzad Parhizgar Student Number: B0229JTJT1112 February 2013 Lecturer:PalanAmbikai Word Count: 2980 Financial Analysis & Management Assignments February 1‚ 2013 Table
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Trapping has been used for thousands of years‚ dating back eight-thousand years in Egypt. It is an ancient and mutually beneficial practice. Traps are used by professionals as their livelihood‚ by others to control their animals populations‚ and by conservationists to study and protect the native animals. Trapping can appear inhuman‚ and unnecessary to those who don’t know anything about the process‚ however‚ trapping is a necessity that has many implications to benefit the world we live in today
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