I. Reinvestment opportunities

II. Uncertainty of future

III. Effects of inflation

IV. Lack of money supply

Which of these explains why there is a concept of time value of money?

_ _ _ _ _ _ _ is very important for shareholders or potential investors, because it gives the number of times EPS that investors are willing to pay for one share of stock.

Which of the following completes the sentences above?

MonkeyOne Corp. manufactures socks and sells all of its production. The price of the socks is $15 per unit and $9 of variable costs per unit produced and sold. The company has total fixed costs of $540,000 What is the break-even point of activity for MonkeyOne?

_ _ _ _ _ _ _ is the stated rate of which banks, credit card companies, mortgage loan officers tell you they charge.

Which of the following complete the sentences above?

Bill decides to set aside $100 at the end of each month for his child’s college education. If the child were to be born today, how much will be available for its college education when s/he turns 19 years old with an interest rate of 5% monthly?

What is days in inventory for 2015?

Ali is going to borrow 4000 TL from the bank to purchase a holiday. The bank offers him to use a pure discount loan under 6% interest rate with 1 year maturity. 

Which of the following is the amount he is going to pay at maturity?

Goldstar Inc. and Blackline Corp. are two competitors producing DVD players. Both firms record the same EBIT amount of $4,000,000. Goldstar Inc.’s management is conservative and relies more on equity financing whereas Blackline Inc. is a younger company utilizing more debt financing in its capital structure. Goldstar has a debt ratio of 20% and Blackline reports a debt ratio of 50%. Thus, Goldstar incurs $500,000 of interest expense while Blackline pays $1,750,000 of interest. The tax rate is 35% for both companies.

What is the DFL of these companies?

Which of the following is P in the CVP equation?

A corp. has a fixed costs of $500,000. And it sales only one product at $40 sale price with $15 variable costs. In case this corp. announces a $75,000 depreciation expense on its physical assets, find the cash break-even point in units.

The calculation of Future Values that include the interest on interest is called _____. 

Which of the following best completes the statement above?

How much will you need to put in the bank today at 7% interest rate (monthly) to have $200,000 in six years for a payment on a house?

_ _ _ _ _ _ _ is the interest that one earns only from the initial capital.

Which of the following complete the sentences above?

Computer software, licenses, trademarks, patents and copyrights are the examples of ________.

What will be the future value of $2800 today at the end of 10 years if the interest rate is 18%?

What is the term for 'the movement of money from lenders to borrowers, and back from borrowers to lenders' in a financial system?

Which ratio is computed and expressed as following ?

? = Market Price per Share / Earnings per Price

Which one of the following is a determinant factor in the cycle of money?

A cable corp. is producing fiber obtic cables. The firm records $2,500,000 EBIT and incurs $500,000 of interest expense. What is the degree of financial leverage this company?

HKN Corp. manufactures a computer appliance and sells all of its production. The price of the appliance is $24/unit. The company incurs $10 of variable costs per unit produced and sold. HKN has total fixed costs of $420,000. What is the break-even point of activity for HKN?