Question :
51. The balance sheet of Allhear, a communications firm, for the : 1230291
51. The balance sheet of Allhear, a communications firm, for the year ended December 31, 2009, showed current assets of $20 million, current liabilities of $16 million, shareholders’ equity of $17 million, and noncurrent assets of $29 million.
Compute the amount of noncurrent liabilities on Allhear’s balance sheet at the end of 2009.
A. $5 million
B. $10 million
C. $12 million
D. $13 million
E. $16 million
52. The balance sheet of Old Gold Mines, a gold mining company, for the year ended June 30, 2009, showed current assets of $6 million, noncurrent assets of $49 million, noncurrent liabilities of $14 million, and current liabilities of $4 million. Compute the amount of shareholders’ equity on Old Gold Mines’ balance sheet at the end of 2009.
A. $14 million
B. $27 million
C. $33 million
D. $37 million
E. $41 million
53. The income statement of Ride-on Motors, an automotive manufacturer, for the year ended December 31, 2009, reported revenues $7,400 million and cost of sales of $6,000 million. In addition, it reported other operating expenses of $900 million, a loss of $2 million on the sale of a business, and net financing income of $200 million. Tax expense for the year was $100 million. Compute the amount of net income or loss that Ride-on Motors reported for 2009.
A. net income of $198 million
B. net income of $698 million
C. net loss of $698 million
D. net income of $598 million
E. net loss of 598 million
54. The income statement of Peoples Motors Corporation, a U.S. automotive manufacturer, for the year ended December 31, 2009, reported revenues of $207,000, cost of sales of $165,000, other operating expenses, including income taxes of $50,000, and net financing income, after taxes, of $6,000. Compute the amount of net income or loss that Peoples Motors reported for 2009.
A. net income of $0
B. net income of $2,000
C. net loss of $2,000
D. net income of $8,000
E. net loss of $8,000
55. The balance sheet of Old Gold Mines for the year ended June 30, 2009, showed a balance in retained earnings of $6,000 million at the end of 2009 and $4,600 million at the end of 2008. Net income for 2009 was $2,400, million. Compute the amount of dividends Old Gold Mines declared during 2009.
A. $500 million
B. $1,000 million
C. $1,500 million
D. $2,000 million
E. $2,500 million
56. The balance sheet of Copper Industries, a producer of copper, showed retained earnings of $26,000 million at March 31, 2008. At March 31, 2009, the balance in retained earnings was $70,500 million . Copper declared dividends during the year ended March 31, 2009, of $3,500 million . Compute Copper’s net income for the year ended March 31, 2009 (fiscal 2008).
A. $41.000 million
B. $44.500 million
C. $48.000 million
D. $53.500 million
E. $58.000 million
57. The statement of cash flows for Goal Corporation, a U.S. retailer, for the year ended February 2, 2009 (fiscal 2008), showed a net cash inflow from operations of $4,100 million, a net cash outflow for investing of $6,200 million, and a net cash inflow for financing of $3,700 million. The balance sheet at February 3, 2008, showed a balance in cash of $800 million.. Compute the amount of cash on the balance sheet at February 2, 2009.
A. $800 million.
B. $1,600 million.
C. $2,400 million.
D. $3,200 million.
E. $4,700 million.
58. The statement of cash flows for Lights-On, a leading electric utility for the year ended December 31, 2009, showed a net cash inflow from operations of $427,000 million and a net cash outflow for financing of $21,800 million. The comparative balance sheets showed a balance in cash of $32,700 at December 31, 2008, and $101,200 at December 31, 2009. Compute the net amount of cash provided or used by Lights-On’s investing activities for 2009.
A. $68,500 million provided
B. $271,300 million used
C. $372,500 million provided
D. $336,700 million used
E. $236,700 million used
59. Broke Inc is experiencing a cash flow problem finding that its cash decreases, even though net income increases. Which of the following is a possible reason?
A. lag between cash expenditures incurred in producing goods and cash collections from customers once the firm sells those goods
B. must generally produce more units than it sells during a period of growth if it is to have sufficient quantities of inventory on hand for future sales
C. cash needed for a higher level of production exceeds the cash received from the prior period’s sale
D. all of the above
E. none of the above
60. The income statement and statement of cash flows provide information about the _____, respectively, of a firm during a period.
A. asset and equity position at a moment in time and profitability
B. asset and equity position at a moment in time and liquidity
C. liquidity and profitability
D. profitability and liquidity
E. none of the above
