Exam (elaborations)
FINC 4331 final Test Questions and 100% Correct Verified Answers
- Course
- Institution
FINC 4331 final Test Questions and 100% Correct Verified Answers
[Show more]
Seller
Follow
Content preview
FINC 4331 final Test Questions and 100%Correct Verified Answers
The Conference Board's Report of Economic Indicators recently published the following
report: The conference Board announced today that interest rates remain low. Reports
indicate that companies are holding lower inventories and capital expenditures have
decreased. The availability of credit continues to be tight. Based on the above report,
which of the following best describers the current stage in the general business cycle?
Early expansion
late expansion
early contraction
late contraction - ANSWER late contraction
The economy is entering the late contraction stage of the business cycle. Your Bank
has four customers requesting an increase to their lines of credit. Assuming their
overall creditworthiness is comparable, which of the following customers would exhibit
the least risk to the bank?
A beer and soda distributor
A wholesaler of floor coverings
A temporary staffing firm
A upscale children's clothing boutique - ANSWER A beer and soda distributor
,In which industry lifecycle stage would companies be most likely to focus on
cost discipline?
Mature
Introductory
Growth
Decline - ANSWER Decline
in which company lifecycle stages is a company most likely to be profitable?
introductory and growth
mature and declining
growth and mature
introductory and declining - ANSWER growth and mature
in which company lifecycle stage is a company most likely to invest in equipment that
adds efficiency?
declining
mature
growth
introductory - ANSWER mature
which of the following statements best describes the relationship between product and
industry lifecycle stages?
product lifecycle stages generally lag their industry by one stage
individual products can be variable in their lifecycle timing compared to the
overall industry stage
A product's lifecycle stage by definition coincides with its industry's lifecycle stage
, Product lifecycle stages generally lead their industry by one stage? - ANSWER
individual products can be variable in their lifecycle timing compared to the
overall industry stage
Clara's Costumes is a retailer of costumes, primarily purchased for Halloween. Which of
the following characteristics would most likely be present in Clara's financial
statements?
Receivables will increase after the increase in inventories
Fixed asset spending will be highest at the seasonal peak
The need for credit will be lowest during the high point in the operating
cycle Inventory will increase immediately following the seasonal peak -
ANSWER Receivables will increase after the increase in inventories
GCC, Inc is a local firm that provides general contracting services to commercial real
estate developers operating in your region. In assessing the sustainability of the
company's revenues, which of the following questions would be least relevant to ask?
what is your current backlog of contracts?
How many developers do you work with?
What is the outlook for the economy in the region?
How much did your sales grow last year? - ANSWER How much did your sales grow
last year?
Which of the following expenses is not included in an income statement?
Interest expense
Repairs and maintenance
Principal repayment
Depreciation - ANSWER Principal repayment
The benefits of buying summaries with Stuvia:
Guaranteed quality through customer reviews
Stuvia customers have reviewed more than 700,000 summaries. This how you know that you are buying the best documents.
Quick and easy check-out
You can quickly pay through credit card or Stuvia-credit for the summaries. There is no membership needed.
Focus on what matters
Your fellow students write the study notes themselves, which is why the documents are always reliable and up-to-date. This ensures you quickly get to the core!
Frequently asked questions
What do I get when I buy this document?
You get a PDF, available immediately after your purchase. The purchased document is accessible anytime, anywhere and indefinitely through your profile.
Satisfaction guarantee: how does it work?
Our satisfaction guarantee ensures that you always find a study document that suits you well. You fill out a form, and our customer service team takes care of the rest.
Who am I buying these notes from?
Stuvia is a marketplace, so you are not buying this document from us, but from seller KenAli. Stuvia facilitates payment to the seller.
Will I be stuck with a subscription?
No, you only buy these notes for $13.49. You're not tied to anything after your purchase.
Can Stuvia be trusted?
4.6 stars on Google & Trustpilot (+1000 reviews)
79276 documents were sold in the last 30 days
Founded in 2010, the go-to place to buy study notes for 14 years now