FIN 571 NERD Education Specialist /fin571nerd.com FIN 571 NERD Education Specialist /fin571nerd.com | Page 18

months or less. E. Net working capital equals current assets plus current
liabilities. Question 29
Futures contracts contrast with forward
contracts by: A.
Allowing the seller to deliver any day during the
delivery month. B. Requiring contract fulfilment by the two originating
parties. C.
Providing an option for the buyer rather than an
obligation. D.
Marking to the market on a weekly basis. E.
Allowing the parties to negotiate the contract size.
Question 30 The higher the inventory turnover, the: A. Lesser the amount
of inventory held by a firm. B. Higher the inventory as a percentage of
total assets. C.
Less time inventory items remain on the shelf. D.
Greater the inventory of inventory help by a firm. E.
Longer it takes firm to sell its inventory.
--------------------------------------------------------------------------------
FIN 571 Final Exam Guide Set 2 (NEW)
FOR MORE CLASSES VISIT
www.fin571nerd.com
1. Financial managers should primarily strive to: 2. The process of
planning and managing a firm's long-term assets is called: 3.
Which one of the following actions by a financial manager
creates an agency problem? 4. Which one of these is a cash
outflow from a corporation? 5. For each of the following,
compute the present value 6. Gerold invested $115 in an account
that pays 5 percent simple interest. How much money will he
have at the end of 5 years? 7. What is the future value of $920 a
year for 5 years at a 6 percent interest? 8. You bought 360
shares of stock at a total cost of $7,754.40. You received a total
of $403.20 in dividends and sold your shares for $19.98 a share.
What was your total rate of return? 9. A year ago, you purchased
500 shares of New Tech stock at a price of $49.03 per share.
The stock pays an annual dividend of $.10 per share. Today, you
sold all of your shares for $58.14 per share. What is your total
dollar return on this investment? 10. The financial statement
summarizing a firm's accounting performance over a period of
time is the: 11. Which one of these accounts is classified as a
current asset on the balance sheet? 12. Net working capital is