Finance Internship Interview

Maximization of Shareholders Wealth is reflected in? (Choose ONLY TWO that apply)

Which accounting assumption assumes that an enterprise will continue in operation long enough to carry out its existing objectives and commitments?

Finance function involves:

Johnny’s Car Repair Shop started the year with total assets of \$ 60,000 and total liabilities of \$40,000. During the year the business recorded $ 100,000 in car repair revenues, \$55,000 in expenses, and dividends of \$10,000. The net income reported by Johnny’s Car Repair Shop for the year was?

Internal sources of capital are those that are

The purchase of an office building by issuing long-term notes payable should be reported as a

A profitability index (PI) of .95 for a project means that _________________ (Choose ONLY TWO that apply)

If beginning capital was \$25,000, ending capital is \$37,000, and the owner's withdrawals were \$23,000, the amount of net income or net loss for the period was:

Capital budgeting decisions are based on: (Choose ONLY TWO that apply)

A company normally sells its products for \$20 per unit, which includes a profit margin of 25%. However, the selling price has fallen to \$15 per unit. This company's current inventory consists 200 units purchased at \$16 per unit. Replacement cost has now fallen to \$13 per unit. Calculate the value of inventory at the lower of cost or market.

The net initial investment is divided by uniform increase in future cash flows to calculate

A measure of profitability is the

Cost of Capital refers to:

The difference between the balance of a plant asset account and the related accumulated depreciation account is termed

Cost of Capital for Government securities is also known as:

A company purchased a POS cash register on January 1 for \$5,400. This register has a useful life of 10 years and a salvage value of \$400. What would be the depreciation expense for the second-year of its useful life using the double-declining-balance method?

Which is the most expensive source of funds? (Choose ONLY TWO that apply)

Which of the following is not an activity listed in the statement of cash flows?

Minimum Rate of Return that a firm must earn in order to satisfy its investors, is also known as:

A company began the accounting period with \$50,000 in owner’s capital, ended with \$75,000 in owner’s capital, and the owner withdrew $30,000 during the period for personal use. What was the company’s net income or loss for the period?