BUSINESS FINANCE教学资料 Tutorial 2.pdfVIP

Tutorial 2: Business Finance September 2016 Choose the best answer from the following questions/statements. 1. Which one of the following is the financial statement that shows the accounting value of a firms equity as of a particular date? a. Income Statement b. Creditor’s statement c. Statement of financial position d. Statement of cash flow 2. Net working capital is defined as: a. Total liabilities minus shareholder’s equity b. Current liabilities minus shareholder’s equity c. Total assets minus total liabilities d. Current assets minus current liabilities 3. Which one of the following is classified as an intangible non-current asset? a. Trade receivables b. Trademark c. Building d. Inventory 4. Which one of the following will increase the value of a firms net working capital? a. Selling inventory at a profit b. Using cash to pay a supplier c. Depreciating an asset d. Purchasing inventory on credit 5. Which one of the following accounts is the most liquid? a. Inventory b. Building c. Accounts receivables d. Equipment 6. Shareholders equity: a. Increases in value any time assets increases b. Decreases whenever new equity shares are issued c. Is equal to total assets and total liabilities d. Represents the book value of the firm 7. A firm has net working capital of €640. Long-term debt is €4,180, total assets are €6,230, and non-current assets are €3,910. What is the amount of the total liabilities? a. € 5,590 b. € 5,860 c. € 7,780 d. €2,090 8. A firm has ordinar