BUS402 Week 4 Quiz Latest 2017 (Score 100%)

Question 12 out of 2 pointsThe statement of cash flow:Question 22 out of 2 pointsA pro forma financial statement means:Question 32 out of 2 points________ measure the financing supplied by the company’s owners against that supplied by its creditors and serve as a gauge of the depth of a company’s debt.Question 42 out of 2 pointsThe break-even point occurs where:Question 52 out of 2 pointsWhat is the difference between price per unit and variable cost per unit?Question 62 out of 2 points________ is/are the value of the owner’s investment in the business.Question 72 out of 2 pointsA technique that allows the small business owner to perform financial analysis by understanding the relationship between two accounting elements is called:Question 82 out of 2 pointsA ratio greater than ________ days would indicate poor collection procedures.Question 92 out of 2 pointsThe profit and loss statement is also referred as the ________.Question 102 out of 2 pointsThe ________ is built on the basic accounting equation: Assets = Liabilities + Owner’s Equity.Question 112 out of 2 points________ tell whether or not the small business will be able to meet its maturing obligations as they come due.Question 122 out of 2 points________ ratios tell whether or not the small company will be able to meet its maturing obligations as they come due.Question 132 out of 2 points________ ratios measure the financing supplied by business owners and that supplied by the firm’s creditors.Question 142 out of 2 points________ ratios help a business owner evaluate the company’s performance and indicate how effectively the business employs its resources.Question 152 out of 2 points________ ratios indicate how efficiently the small firm is being managed.Question 162 out of 2 pointsA bank account that technically never has funds in it but is tied to another master account so that when checks are presented for payment the master account is debited, permitting the company to use its own money during the “float” period, is called a(n):Question 172 out of 2 pointsExchanging goods and services for other goods and services, or ________, is an effective way for a small business to conserve cash.Question 182 out of 2 pointsWhen investing surplus cash, the small business owner’s key objectives should be:Question 192 out of 2 points________ is the money that moves through the business in a continuous cycle.Question 202 out of 2 pointsThe budgeting strategy that evaluates the necessity of every item on the budget each year by starting with a zero in each budget category is called:Question 212 out of 2 pointsThe most important item on the balance sheet is:Question 222 out of 2 pointsOnce a small business has established a firm written credit policy and communicated it, the next step in building an effective credit policy is to:Question 232 out of 2 points________ companies are most likely to suffer cash shortages.Question 242 out of 2 points________ is simply a “cash map” which shows the amount and the timing of cash receipts and cash disbursements over time.Question 252 out of 2 pointsThe first step to building a workable credit policy is:Question 262 out of 2 pointsOnce a credit account becomes past due, a small business owner should:Question 272 out of 2 pointsThe “big three” of cash management include:Question 282 out of 2 pointsAn important source of credit information that collects information on small businesses that other reporting services ignore is:Question 292 out of 2 pointsThe Fair Debt Collection Practices Act prohibits business owners from:Question 302 out of 2 pointsWhen it comes to trade credit, the small business owner: