Multiple Choice Are revenues. Increase income. Are liabilities. Are not allowed under GAAP. Require an outlay of cash in the future.

A declining trend in the capital outlay ratio could be an indicator of deferred replacement of capital assets. O Truc O False pt

Explain why the value of an asset is its current market value and not what you paid for it? Why is it so important to have my assets properly valued (what need might arise)?  Explain why every individual needs some liquid assets.  What is the problem if the amount is too low?  What is the problem if the amount is too high?

Negative cash flow to creditors

Net present value and the payback period are examples of discounted cash flow methods used in capital investment decisions. Group of answer choices True False

All things considered stable cash flows enable higher debt borrowing. Group of answer choices True False

Where do nothing was preferred what assumption is being made about the return generated by the univested funds?

In the discounted cashflow method, the discount rate is used for the following reasons EXCEPTa. it removes the timing differences of cashflows.b. it serves as the required rate of return of the asset being valued.c. it removes the expected riskiness of differing assetsd. it equalizes cash inflows to cash outflows so that the value would equal to the market value.

True (t) or False (f) ______ Short-term, highly liquid investments may be included with cash on the balance sheet.

Which of the following are problems in using net present value to appraise an investment?1. The difficulty of estimating future cash flows2. The difficulty of selecting an appropriate discount rate3. It does not take account of inflation.4. The concept of net present value is difficult for non-accountants to understand.   1, 2, 3 and 4 1 and 2 only 1, 2 and 3 only 1, 2 and 4 only