Which of the following is a potential source of capital for a company to invest in long-term assets? Select one: оо A. Bank loans B. Net Income from past years C. Issuing additional common stock D. Issuing bonds E. All of the above
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- The cost of equity is ________. Group of answer choices A. the interest associated with debt B. the rate of return required by investors to incentivize them to invest in a company C. the weighted average cost of capital D. equal to the amount of asset turnoverThe cost of equity is ________. a.equal to the amount of asset turnover b.the interest associated with debt c.the weighted average cost of capital d.the rate of return required by investors to incentivize them to invest in a companyWhich of the following is a Long Term Source of Finance? a. Customer Advances b. Equity Shares c. Trade Credit d. Bank Credit
- Give typing answer with explanation and conclusion As a firm progresses through the maturity stage of its life cycle, what type of financial flexible account will it be more likely to use to balance the balance sheet? a. Property, plant & equipment b. Issued debt c. Share repurchases d. Issued equityThe following is selected financial data from Block Industries: How much does Block Industries have in current liabilities? A. $19,800 B. $18,300 C. $12,300 D. $25,800The retirement of long-term debt by the issuance of common stock should be presented in a statement of cash flows as a:
- Which of the following should be used when calculating the weights for a company's capital structure? OA. Historic accounting values OB.Book values OC. Current market values OD. Par and face values8.-What is the meaning of current liabilities in Working Capital Management? A) Source of financing of its current assets. B) Source of financing of its fixed assets C) Source of financing of stockholders' equity D) Source of financing of its long-term liabilities. (Choose one option)Which one of the following is the best indicator of long-term debt paying ability? A)Working capital turnover. B)Asset turnover. C)Current ratio. D)Debt to total assets ratio.
- An assumption inherent in a company’s IFRS statement of financial position is that companies recover and settle the assets and liabilities at Select one: a. their net realizable value. b. the present value of future cash flows. c. the amount that is probable where “probable” means a level of likelihood of at least more than 50%. d. their reported amountsEvaluate the financial analysis of the company's working capital and long term debt.Capital gearing ratio indicates the relationship between A. assets and capital B. loans and capital C. equity shareholders fund and long term borrowed funds D. debentures and share capital