BUSS3 Quiz
- Created by: Nicolas Price
- Created on: 15-05-14 11:28
Other questions in this quiz
2. What is the difference between the acid test ratio and current ratio?
- Acid test includes inventories
- Nothing
- Acid test excludes inventories
- Current ratio excludes inventories
3. What is the formula for average rate of return (ARR)?
- Profit for the year / total equity x 100
- Profit / the number of years x 100
- net cash flow / the number of years / initial cost of investment x 100
- net cash flow / the number of years x initial cost of investment
4. What is gearing?
- Total equity + non current liabilities / cash flow x 100
- The amount of a firm's capital that is funded by loans as opposed to share capital
- Preparing to enter a new market
- The amount of a firm's capital that is funded by share capital as opposed to loans
5. A benefit of critical path analysis is that
- it can beused to calculate the impact of delays to the completion of a project
- it allows a firm to complete a project quickly
- it measures the risks of a decision
- it automatically increases a business's profits
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