Social Science Questions

16) A firm reports the following balance sheet items; total current liabilities of $535,000; total assets of $2,500,000; net working capital of $115,000; and long-term debt of $200,000. What is the amount of the firm's current assets?A) $1,315,000B) $1,965,000C) $650,000 D) $735,00

What is the name of the foreign bank account that a trader maintains in a foreign bank and from which they would request transfer of currency to the account of another trader with whom they have concluded a transaction?a) nostro accountb) short sale accountc) settlement accountd) interbank account

19) Which is NOT an example of current assets?A) Marketable securitiesB) Intangible assetsC) Prepaid expensesD) Trade receivables

When the home currency price of a certain fixed quantity of the foreign currency is quoted, it is referred to as thea) indirect quotationb) direct quotationc) European quotationd) American quotation

14) The statement of financial position is also known as the:A) balance sheetB) statement of stockholders' equity.C) income statement.D) statement of cash flows.

13) Stock that is repurchased by the issuing company is called: A) paid in capital.B) retained capital.C) treasury stock.D) par value stock.

Suppose the direct quote for sterling in New York is $1.3110‑5. Then the direct quote for dollars in London is:a) .7110‑5b) 2.6220‑30c) .7625‑8d) 1.3110‑5

1) Which of the basic financial statements attempts to measure the earnings of the firm's operations over a given time period?A) Balance sheetB) Income statementC) Cash flow statementD) None of the above

21) Which is NOT an example of current liabilities?A) Notes payableB) Accounts receivableC) Current portion of long-term debtD) Taxes payable

An American company that imports leather goods from England is most likely to bea) long poundsb) short poundsc) can't tell

18) A consolidated balance sheet refers to:A) a balance sheet of a large firm that has numerous subsidiaries, each with its own balance sheet that have been combining into one all-encompassing balance sheet.B) a balance sheet of a large firm that has combined the balance sheets fo all wholly owned and some partially owned subsidiaries into one separate balance sheet.C) a balance sheet of a large firm that has combined the balance sheet of all partially owned subsidiaries into one separate balance sheet. D) All of the above.

7) Which of the following is NOT be included as equity in a corporate balance sheet? A) Paid in capitalB) CashC) Common stockD) Retained earnings

5) Which of the following would NOT be included as an asset on a corporate balance sheet?A) Accounts receivableB) Preferred stockC) InventoryD) Buildings

Suppose the spot direct quotes for the Italian euro and Swedish krone are $1.2509‑51 and $.1201‑10, respectively. What is the direct quote for the Swedish krone in Milan?a) €.00413‑25/Krb) €.00422‑31/Krc) €.0957-67/Krd) Kr.0957-67/€

11) Which of the following statements regarding the balance sheet is NOT correct?A) The balance sheet provides a snapshot of the firm's financial position at a given point in time.B) The balance sheet lists the firm's assets, liabilities, and equity.C) The balance sheet reports liabilities on the left side.D) The balance sheet reports stockholders' equity on the right side.

Suppose the quote for euro is $.9865‑92/€. The percent spread isa) 2.31%b) 0.97%c) 0.62%d) 0.27%

On December 3,2001, spot Japanese yen were sold at $0.008058. Suppose the 180-day forward Japanese yen was selling at a 1.91% annualized premium, what is the 180-day forward rate of the yen?a) 0.008245b) 0.008135c) 0.008457d) 0.010638

Suppose one observed the following direct spot quotations in New York and London, respectively: $1.2500‑60 and £.8000‑50. Arbitrage profits per $1 million equala) $637b) $0c) $1,268d) $4,492

Suppose the following direct quotes are received for spot and one‑month French francs in New York: .1260‑684‑6. Then the outright 30‑day forward quote for the French is:a) .1256‑62b) .1264‑74c) .1266‑72d) .1254‑64

Suppose the pound sterling is selling for $1.62 and the buying rate for the Swiss franc is $0.71. Then the £/SFr cross rate isa) £1 = SFr 0.4383b) SFr 1 = £2.2817c) £1 = SFr 2.2817d) SFr 1 = £1.2817