MISC
This Grace Business School event is held every year and awards cash prizes to the winning team/individual
What is the Business Plan Competition?
This type of business firm is most highly regulated.
What is a corporation?
Earnings Before Interest and Taxes and is often called operating income
What is EBIT?
One of the two primary liquidity ratios.
What is the current ratio or what is the quick ratio?
The future value of $2,000 invested at 4% for 5 years.
What is $2,433?
On the balance sheet this value represents the amount customers owe to the firm
What is Accounts Receivable
This type of businesses exposes the owner to unlimited liability.
What is a sole proprietorship?
Sales minus Cost of Goods Sold
What is Gross Margin?
Using Debt only (not including AP) the Debt ratio of this company. Acct Rec 100,000, Inventory 150,000, Fixed Assets = 150,000, Acct Payable 50,000, Debt 100,000, Equity 250,000
What is 25%?
The Present Value of a state of Indiana bond paying $1,000 8 years from now when the discount rate for these type of bonds is 5%.
What is $677 or (1000 * .6768)?
This is the amount a company owes to suppliers?
What is accounts payable?
An investor holding these receives a steady stream of interest payments
What are bond holders?
Gross Margin & GM % for this company Sales = 100,000 COGS = 80,000 SG&A = 5,000 Interest Paid = 2,000
What is $20,000 and 20%?
The number of inventory turns for this company. Sales 1,000, COGS 500, Interest Expense 25, Acct Rec 50, Inventory 200, Fixed Assets 50.
What is 5?
The present value of these cash flows using a 10% discount rate. Year1 Year2 Year 3 Year 4 500 1000 2000 500
What is $3,125?
It Is a progressive tax system
What is the US Federal Income Tax System?
These types of business are taxed on Net Income and the dividends they may pay are also taxed when received.
What is a corporation?
A required financial statement (for corporations) that is not listed here. Income Statement, Balance Sheet, Statement of Cash Flows
What is the Statement of Stockholders Equity?
The return on equity for this company. Sales 500, COGS 250, SG&A 100, Interest paid 5, taxes 25, Assets 600, Debt 100, Equity 500
What is 24%?
The net present value of these cash flows at 10% discount. Time now -$150,000, Y1 75,000, Y2 60,000, Y3 50,000
What is $5,332?
A famous stock exchange located in NY
What is the New York Stock Exchange or NYSE?
This type of business is easiest to form.
What is a sole proprietorship?
On the balance sheet these must equal the sum of Liabilities plus Equity
What are assets (or total assets)?
This value is equivalent to the market price of each share multiplied by the number of shares outstanding.
What is market capitalization? or market cap
The average percent return on an investment of $10,000 made 10 years ago that is now worth $21,589.
What is 8%?