Category: Uncategorized

True or False: The present value of an annuity due is always greater than the present value of an otherwise identical ordinary annuity because each payment is received one period earlier. True   /   False

A company’s sustainable growth rate depends on its: A) Current stock price and dividend yield B) Retention ratio and return on equity (ROE) C) Total asset turnover and inventory levels D) Market capitalization and P/E ratio

True or False: An inverted yield curve, where short-term rates exceed long-term rates, is often considered a predictor of an economic recession. True   /   False

What is the present value of an ordinary annuity that pays $1,000 per year for 4 years, discounted at 10%? A) $3,169.87 B) $3,486.85 C) $4,000.00 D) $4,641.00

True or False: Revenue should be recognized when it is earned and realizable, regardless of when cash is received. True   /   False

A normal (upward-sloping) yield curve typically suggests that: A) Short-term interest rates are higher than long-term rates B) Investors expect economic contraction and falling interest rates C) Investors expect stable or growing economic conditions and demand higher yields for longer maturities D) All bonds have the same yield regardless of maturity

True or False: A company with a gross profit margin of 40% and a net profit margin of 5% likely has very high operating expenses relative to its gross profit. True   /   False

Hydrogen fuel is fed into the ___ of a fuel cell.

The electron flow motor rule states that the ___ points in the direction of the electron current flow in the conductor.

A(n) ___ can be used in a shunt regulator.