FIN3400 Game show # 1

Which is not one of the four Financial Statements that reports performance?

• statement of residual earnings

• balance sheet

• statement of cash flow

• income statement

Which of the following is NOT an example of annuity cash flows?

• Regular equal monthly rent payments

• semi annual equally distributed insurance payments

• Equal annual deposits into a retirement account

• Monthly Income from tanning bed usage sales

When there are conflicts among managerial goals in US markets,the most important priority is to

• increase the current market value of equity

• keep all of the company's customers happy

• foster good relationships with the community

• maintain a safe and happy work place

A firm's stock price most closely reflects which of the following?

• Current interest rates

• Expected future cash flows of the firm

• The amount of debt held by the firm

• none of these

Which of the following is NOT an ADVANTAGE of a sole proprietorship?

• The owner receiving all the after-tax profit

• Limited liability

• Quick decision making

• All of these are advantages of a sole proprietorship

The basic accounting equation that shows a balance sheet balances

• Accounting Identity is: Assets =Liabilities - Owners' Equity

• Accounting Identity is: Assets =Liabilities + Owners' Equity

• Accounting Identity is: Assets= Owners' Equity - Liabilities

• Accounting Identity is: Liabilities =Assets + Owners' Equity

Given the data in the picture, What is the amount of current liabilities?

• $8,752

• $6,974

• $6,862

• $6,574

You wish to make a sizable down payment on a house and you currently have $18,325 invested at an annual rate of 4.75%. How much money will be in the account in 2.5 years if it continues to earn at its present rate?

• $19,887

• $19,464

• $20,579

• $20,605

Your parents plan to spend $20,000 on a car for you upon graduation from college. If you will graduate in three years and your parents earn 4.125% annually on their investment, how much money must they set aside for your car?

• $20,000

• $17,704

• $17,716

• $16,387

For the next 40 years you place $3000 in equal year-end deposits into an account earning 8% per year. How much money will be in that account at the end of the time period?

• $120,000.00

• $777,169.56

• $839,343.12

• $2,606,942.58