7. Net Working Capital is the difference between Current Assets and Long-Term Liabilities. T/F 8. APR takes into consideration compounding, whereas EAR does not factor in compounding. T/F
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7. Net Working Capital is the difference between Current Assets and
Long-Term Liabilities. T/F
8. APR takes into consideration compounding, whereas EAR does not
factor in compounding. T/F
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- 4) _________________ is the excess of current assets over the current liability of the concern during a particular period. a. Both Gross and net working capital b. Gross working capital c. None of these d. Net working capital Clear my choiceNet Working Capital is equal to a. Non Current Assets - Current Liabilities b. Non Current Assets - Non Current Liabilities c. Current Assets - Non Current Liabilities d. Total Current Assets - total Current LiabilitiesNet Working Capital is equal to a. Current Assets - Non Current Liabilities b. Current Assets - Current Liabilities c. Non Current Assets - Current Liabilities d. Non Current Assets - Non Current Liabilities
- 6. When computing the amount of interest cost to be capitalized, the concept of "avoidable interest" refers to A) a cost of capital charge for stockholders' equity. B) that portion of weighted-average accumulated expenditures on which no interest cost was incurred. C) the total interest cost actually incurred. D) that portion of total interest cost which would not have been incurred if expenditures for asset construction had not been made.Choose the correct. The cost of debt capital is calculated on the basis of: A. Net proceeds B. Annual Interest C. Capital D. Arumal DepreciationNet working capital is defined as:Select one:a. Fixed assets minus long-term liabilities.b. Current assets minus current liabilities.c. Total liabilities minus shareholders' equity.d. Current liabilities minus shareholders' equity.e. Total assets minus total liabilities.
- Analyze the following transactions and identify its effects on assets, liabilities, and capital. Write ? for increase, ? for decrease, NE for No effect and I/D if the effect is only in one major accounts. 1. 2. 3. 4. 5. 6. 7. 8. 9. 10.Evaluate the following statements:S1. Capitalization of borrowing cost is mandatory for a qualifying asset.S2. For general borrowing, the capitalizable borrowing cost is equal to the average expenditures of the asset during the period multiplied by the average interest rate. a. True, True b. True, False c. False, False d. False, TrueWhich should be subtracted from the net income when using the indirectmethod? A. Loss on sale of investmentB. Amortization of patentC. Increase in accounts receivableD. Increase in accounts payable
- is there any chance these other calculcations could be done please? thank you :) Return on Capital Employed(v) Asset turnover(vi) Non-current asset turnover(vii) Current Ratio(viii) Quick Ratio(ix) Inventory days(x) Receivables days(xi) Payable days(xii) Interest cover(5). Intangible assets are initially recorded at (a). cost (b). expected future value (c). expected present value of expected cash flows (d). present fair value8.-What is the meaning of current liabilities in Working Capital Management? A) Source of financing of its current assets. B) Source of financing of its fixed assets C) Source of financing of stockholders' equity D) Source of financing of its long-term liabilities. (Choose one option)
