
Working capital

Quiz
•
Other
•
Professional Development
•
Hard
Pali Gaur
Used 2+ times
FREE Resource
8 questions
Show all answers
1.
MULTIPLE CHOICE QUESTION
30 sec • 1 pt
On The basis of ______,working capital may be classified as:
1)Permanent or Fixed Working Capital
2)Temporary or Variable Working Capital
Concept
Time
Future
Work
2.
MULTIPLE CHOICE QUESTION
30 sec • 1 pt
In finance, "working capital" means the same thing as
Total Assets.
Fixed Assets.
Current Assets.
Current Assets minus Current Liabilities.
3.
MULTIPLE CHOICE QUESTION
30 sec • 1 pt
Which of the following would be consistent with a more aggressive approach to financing working capital?
Financing short-term needs with short-term funds.
Financing permanent inventory buildup with long-term debt.
Financing seasonal needs with short-term funds.
Financing some long-term needs with short-term funds.
4.
MULTIPLE CHOICE QUESTION
30 sec • 1 pt
Spontaneous financing includes
Accounts Receivable
Accounts Payable
Short-Term Loans
A Line of Credit
5.
MULTIPLE CHOICE QUESTION
30 sec • 1 pt
Net working capital refers to
total assets minus fixed assets.
current assets minus current liabilities.
current assets minus inventories.
current assets.
6.
MULTIPLE CHOICE QUESTION
30 sec • 1 pt
At the breakeven point:
Profit is $0
Fixed Cost + Variable Cost = Sales
Fixed Cost = Contribution Margin
All The Given Choices
7.
MULTIPLE CHOICE QUESTION
30 sec • 1 pt
Contribution margin ratio is:
Total Contribution Margin / Sales
Sales / Contribution Margin per unit
Fixed Cost / Contribution margin per unit
Sales / Variable costs
8.
MULTIPLE CHOICE QUESTION
30 sec • 1 pt
CVP analysis can be used to study the effect of
Changes in selling price on profitability
changes in variable costs on profitability
Changes in product sales on profitability
All the given options
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