BUS 110: Test 5 – Flashcards

There are ____ federal reserve districts.

Out of the 20 largest banks in the world, ____ are U.S. banks.

Which of the following statements is correct?

Which of the following firms would likely have the highest inventory turnover ratio?

All of the following are liabilities EXCEPT ____.

Public accountants typically perform all of the following tasks for a business client EXCEPT ____.

Sammie works for a public accounting firm that can be expected to provide all of the following services EXCEPT ____.

When a firm uses $100,000 in cash to pay its owners dividends, assets will ____ by $100,000 while owner's equity will ____ by $100,000.

All of the following are assets EXCEPT:

The financial manager of Central Valley Pharmaceuticals needs to raise funds to buy new production equipment. The financial manager suggests that the firm raise debt capital by ____.

In the financial system, most funds are transferred between savers and users ____.

Milwaukee Fabrication has $50 million in assets and $30 million in owner's equity. How much does the firm have in liabilities?

The rate the Fed charges member banks for short-term loans is called the ____.

Which of the following represents the basic accounting equation?

All of the following are profitability ratios EXCEPT ____.

The rules followed by accountants when preparing financial statements are referred to as ____.

The procedure used by accountants to convert transactions into financial statements is called ____.

____ activities provide the necessary funds to start a business and to expand it after it begins operations.

All of the following statements concerning the Fed are correct EXCEPT ____.

Leverage ________ the return to shareholders and ________ the risk of their investment.

Luis is a loan officer for a bank. He is reviewing the financial statements of a prospective borrower. As a user of accounting information, Luis is most interested in using this information ____.

Which of the following assets would a firm most likely finance using long-term sources?

Accountants play a role in ____ activities.

Which of the following is a liquidity ratio?

____ would likely have the least interest in a company's financial statements.

The Internal Revenue Service uses accounting information to ____.

Which of the following financial statements shows a firm's financial position at a point in time?

Deposit insurance shifts most of the financial risk of bank failures from depositors to ____.

Akron Properties has revenues of $50 million, cost of goods sold of $35 million, operating expenses of $5 million, depreciation of $2 million, and taxes of $3 million. How much is the company's gross income?

Banks use most of their funds to ____.

Those professionals who are responsible for gathering, recording, reporting, and interpreting the financial information of an organization are ____.

Which of the following policy tools does the Fed use most frequently?

By definition, all current liabilities are due within ____.

Which financial statement reports revenues and expenses over a period of time?

A(n) ________ is a document that specifies the funds a firm will need for a period of time, the timing of inflows and outflows, and the most appropriate sources and uses of funds.

Which of the following agencies regulates both state and federally chartered commercial banks?

All of the following are examples of debt capital EXCEPT ____.

A(n) ____ is a financial statement that is directly based on the accounting equation.

All of the following are operating expenses EXCEPT ____.

All of the following are considered to be marketable securities EXCEPT ________.

Josh works as an accountant for the city of Dayton, Ohio. Josh can best be described as a ____.

What complication arises in accounting for foreign sales and purchases that is not present in accounting for domestic sales and purchases?

Which of the following interest rates does the Federal Reserve actually set?

Marne's financial institution has an office next to where she works. Everyone who uses the financial institution's services either works for Marne's employer or is related to someone who does. Marne's financial institution is a ____.

The process that periodically checks actual revenues and expenses against forecast values is ____.

The senior financial manager typically has the title of ____.

All of the following are sources of short-term funds EXCEPT ____.

Borrowing money ____.

The gain or loss that results from an investment over a specified period of time is known as ____.

____ would likely have the most interest in current accounting information.