FIN 575 Final Exam

Are you buying online study material at University of

Phoenix in USA . SO UOP E Assignments has many new
Online educational study guide like FIN 575 Final Exam,
FIN 575 Final Exam Answers, UOP FIN 575 Final Exam,
Test Paper, Question and Answers, Complete
Assignment are important for you.

FIN 575 Final Exam (Latest) 1.During the project initiation, a project charter is created. The
project charter should include which of the following?
Project managers expenses
Analysis of budget
Selection of the senior project manager
Projects high-level deliverables
2.A project's budget should be based on a companys
strategy and financial goals
profitability
financial goals and equity
debt load and equity

3.Earned value management is a technique used to integrate

projects
resources
scope, schedule, and resources
schedule, costs, and benefits
costs and profits

4.Bills Billiards has total assets of $8 million and a total asset

turnover of 2.9 times. If the return on assets is 11%, what is
Bill's profit margin?
11%
4.10%
2.50%
3.79%
5.What are the acceptance criteria for NPV?
If the NPV is less that $0, accept the project.
If the NPV is greater than $0, accept the project.
If the IRR is equal to 0%, reject the project.
If the NPV is equal to the discounted payback, accept the
project.
6.The risk response plan answers what question?
What can be done if risk occurs? What is the backup plan?

 What are project costs?

There is no need to plan for risk seldom occurs in a
project.
How risk is to be managed
7.For the most recent year, Cals Cats had sales of $380,000,
cost of goods sold of $93,000, depreciation expense of
$47,000, and additions to retained earnings of $61,420. The
firm had $52,000 in interest expense, and 34% tax rate. What
were the times interest earned ratio?
2.2
5.8
4.61
2.8
8.Bobs Garages has sales of $41 million, total assets of $32
million, and total debt of $11 million. If the profit margin is
12% what is the return on equity (ROE)?
14%
12%
51%
23.40%
9. What are the components of project planning that need
monitoring?
Resource procurement and quality
Project cost and risk

 Project cost, risk, resource procurement and quality

Quality and control
10.During project planning, the project team creates a work
breakdown structure that details work tasks that must be
completed. The work breakdown structure should include a
schedule of when every task will start and be completed
schedule of project staff meetings
set of management tasks
budget analysis
11.The R. M. Senchack Corporation earned an operating profit
margin of 6% based on sales of $11 million and total assets of
$6 million last year. What was Senchacks total asset turnover
ratio?
1
0.54
5.4
1.8
12.Why is the communication plan a crucial factor in project
success?
Ensures the timely generation, collection, storage, and
disposition of project information
Facilitates upper management communication with the
workers
Reduces rumors in the organization

 Communicates the economic value of the

project to management

13.A companys assets are financed with

debt
equity
equity or debt
equity and debt
14.Part of financial planning for projects involves the
understanding of the inflows and outflows of cash that will be
created by the project. What tool can be used to track these
cash flows?
A NPV flow sheet
Profitability work sheet.
Project cash flow worksheet
Cash flow table
15.Stokes, Inc. has net working capital of $7,900, current
liabilities of $5,220, and inventory of $2,000. What is the quick
ratio?
1.89
1.13
1.21
2.1

16.What ratio measures a firms degree of

indebtedness?
Debt ratio
Quick ratio
Fixed coverage ratio
Times interest earned ratio
17.Which one of these terms is a type of debt financing?
Stock repurchases plans
Collateral
Trade credit
Bearer bonds

18.The sum of the percentage of equity and debt multiplied by

their respective cost is called
weighted average cost of capital
capital asset pricing model
market value added
economic value added.
19.Profitability ratios all have what same figure in the
numerator?
Book value per
Net income

 Price per share

Total assets
20.Terrys Trash removal has a total debt ratio of 0.45. What is
the firms debt-to-equity ratio?
1.27
0.41
0.82
1.82
21.An investment in a project should be undertaken only if the
expected return is greater than the
NPV
WACC
payback method
economic value added
22.Brenda Smith, Inc. had a gross profit margin (gross profits
sales) of 25% and sales of $9.75 million last year. Seventy-five
percent of the firms sales are on credit and the remainder are
cash sales. Smiths current assets equal $1,550,000, its current
liabilities equal $300,000, and it has $150,000 in cash plus
marketable securities. If Smiths accounts receivable are
$562,500, what is its average collection period?

25 days
32 days

 28 days
14 days
23.You are considering a project with an initial cash outlay of
$160,000 and expected free cash flows of $40,000 at the end
of each year for 6 years. The required rate of return for this
project is 10%. What is the projects payback period?
4 years
4.5 years
6 years
5 years
24.Project managers manage project cost by
monitoring inventory costs
monitoring opportunity costs
ensuring the work is progressing as planned
ensuring retail costs are controlled
25.What is the primary weakness commonly associated with
the use of the payback method to evaluate a proposed
investment?
This approach fails to take into account the time factor in
the time value of money.
The payback method uses the discounted cash flow
process.
The payback method is able to recognize cash flows that
occur after the payback period.

 The payback method is not appropriate for

evaluating small projects.
26.Fijisawa, Inc. is considering a major expansion of its product
line and has estimated the following free cash flows associated
with such an expansion. The initial outlay associated with the
expansion would be $1,950,000, and the project would
generate free cash flows of $450,000

per year for 6 years. The appropriate required rate of return is

9%. Calculate the net present value and the internal rate of
return.

NPV=$66,098, IRR=10.5
NPV=$72,097, IRR=9.5
NPV=$68,663, IRR=10.2
NPV=$69,368, IRR=10
27.Cost normally falls into the domain of managerial
accounting and has 4 essential proposes. Select the answer
that is an essential function of cost.
Used to calculate earned value cost
Used to calculate executive stock options
Used to calculate inventory costs
Used for planning future activities or budgets
28.Select the
classification?

answer

that

is

an

example

of

cost

 Credit cost
Fixed cost
Retail cost
Inventory cost
29.What are the four secondary processes in project control?
Schedule control, change control, risk control, and quality
assurance control
Value control, Inventory control, schedule control and
quality control
Organizational control, cost control, inventory control, and
risk control
Stakeholder control, organization control, risk control, and
change control

30.Stokes, Inc. has net working capital of $7,900, current

liabilities of $5,220, and inventory of $2,000. What is the
current ratio?
2.1
0.77
1.89
1.51

Complete Paper Here

ECO 561 Final Exam
FIN 370 Final Exam
FIN 571 Final Exam
FIN 571 Connect Problems
LAW 421 Final Exam
ACC 291 Final Exam
ACC 561 Final Exam
BUS 475 Capstone Final Examination Part 1
BUS 475 Capstone Final Examination Part 2
COM 295 Final Exam
COM 537 Final Exam
ECO 365 Final Exam
LDR 300 Final Exam
LDR 531 Final Exam
MKT 571 Final Exam
QNT 561 Final Exam
OPS 571 Final Exam
LAW 575 Final Exam

Want more details? Download now

http://www.uopeassignments.com/