Answer the following statements true (T) or false (F)

1. Alaska Airlines and United Airlines would likely have a similar business model but different business strategy.
2. The Home Depot would probably benchmark with other big box retailers.
3. Return on equity measures the relationship between net income and average total assets
4. Computing trend percentages over a period of years helps to indicate the direction in which the business is going.
5. The three ways to analyze financial statements are by using horizontal, vertical and ratio analysis.


1. TRUE
2. TRUE
3. FALSE
4. TRUE
5. TRUE

Business

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The Lucy Corporation purchased and used 129,000 board feet of lumber in production, at a total cost of $1,548,000. Original production had been budgeted for 22,000 units with a standard material quantity of 5.7 board feet per unit and a standard price of $12 per board foot. Actual production was 23,500 units. Compute the material quantity variance

A) 63,000F B) 63,000U C) 59,400F D) 59,400U

Business

Which of the following is not an example of external communication?

A) Communicating to corporate stakeholders. B) Communicating to customers. C) Communicating up to immediate supervisor. D) Communicating to civic groups.

Business

A tenant's interest in the property is a freehold estate

Indicate whether the statement is true or false

Business

What is the present value of the following perpetuities?

a. $200 per year discounted at 6% annually b. $500 per year discounted at 9% annually c. $1,000 per year discounted at 5% annually d. $550 per year discounted at 8% annually What will be an ideal response?

Business