Financial Management

Accounts receivable, inventory, marketable securities, cash.

Cash, marketable securities, accounts receivable, inventory.

Inventory, marketable securities, cash, accounts receivable.

Cash, inventory, accounts receivable, marketable securities.

the marketability of the pledged goods

their associated price stability of the goods

the perishability of the goods

the control of the goods by the manufacturer

it is purely an accounting entry and doesn’t involve a direct disbursement of funds, freeing up these funds for other investments

it represents a reduction in asset holdings

it represents an increase in an asset account

amortization is not a source of funds

dividing the number of years by the number of compounding periods

multiplying the number of years by the number of compounding periods

dividing the interest rate by the number of compounding period

multiplying the years and dividing the interest rate by the number of compounding periods

the speed at which the firm is turning over its assets

the ability of the firm to earn an adequate return on sales, total assets, and invested capital

the firm’s ability to pay off short term obligations as they are due

the debt position of the firm in light of its assets and earning power

during the period

at the beginning of the period

at the end of the period

it doesn’t matter when they occur

a profitability ratio

a debt utilization ratio

an asset utilization ratio

a liquidity ratio

weigh and evaluate the operating performance of the firm

provide an absolute benchmark of industry performance

determine which firm will provide the highest return to investors

None of the above are correct

the prior year’s income statement

sales projections and the production plan

the cash budget

the cash budget and prior year’s income statement

to break the income statement down into monthly periods

to determine monthly cash receipts

to determine the collection pattern

to allow the firm to anticipate the need for outside funding