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Financial Accouting
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Return on equity is measured in terms of
a percentage
A disadvantage of the corporate form of a business is
government regulation
In the United State, insider trading is considered
both unethical and illegal
The board of directors carries out the day-to-day operations of the business
F
Which of the followng is not a category of investmens?
collateral securities
The cash amount of purchases and sales of investments appear in which section of the statement of cahs flows?
Investing activities
Dividends yield equals
net income divided by dividends per share
Investments are valued on the balance sheet at the original purchase price, even if the price has changed since the date of purchase
F
Investments with a maturity of less than a year are classified as cash equivalents
F
If a long-term investment suffers a permanent decline in value, a loss must be recorded, even though the investment has not yet been sold
T
The price/earnings (P/E) ratio is measured in terms of
times
Another term for short-term investments is marketable securities
T
Stockholders elect the board of directors which appoint the officers of a corporation
T
All of the following are conditions that could affect the valuation of investments on the balance sheet except
changes in the general purchasing power of the dollar
Gains and losses on th sale of investments appear as adjustments within the operating activities section of the statement of cash flow
T
Which of the following categories of investments aree debt, bu tnot equity, securities
Held- to - maturity securities
Which of the following categories of investments can be both debt and equity securities
trading securities
The dividends yield is measured in terms of "times"
F
Return on equity equals average stockholders' equity divided by net income
F
The price/earnings (P/E) ratio is a measure of investors' confidence in a company's future
T
Author
Anonymous
ID
120340
Card Set
Financial Accouting
Description
Test Questions
Updated
2011-12-03T01:33:46Z
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