Question

15.Seeking higher efficiency comes in the --------stage of entrepreneurial/managing of a project.

a. First

b. Second

16.) Short-term assets are called ------ assets, and long-term assets are called ----- assets.

-Fixed

-Temporary

-Current

-Permanent

17.) The balance sheet reports owner’s equity on a specific date.

True           or         False

18.) The -------are listed in the balance sheet according to the time they take to be converted into cash.

-Equities

-Net worths

-Assets

-Liabilities

19.) Cash flow to stockholders is calculated as ---------

-Profits

-Interests

-Dividends

-Capital gains

20.) EBIT is ------------------------------------------

Answer 1

15. Seeking higher efficiency comes in the second stage of entrepreneurial/ managing of a project.

16. Short term asset are also called current asset, because it can be converted in cash within a year, and long term assets are called fixed asset, because they can not be converted into cash in a year.

17. The balance sheet is a snapshot of the business, and balance sheet shows asset liability and equity of a business on the date it is prepared, so the statement is correct.

18. The correct answer is Asset.

Current asset are listed first then fixed asset as per their liquidity. It is also called account marshalling.

19. The correct answer is Dividend.

After the income statement has been prepared and net income has been calculated, management decide the % of net income that should be distributed to the shareholders as dividend.

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Hope this answer your query.

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