When calculating the return on common equity ratio, dividends to preferred stockholders are deducted from net income because
A. the ratio is an indicator of the return on common stockholders equity rather than the return on total equity.
B. dividends are not expenses on the current period income statement.
C. conservatism indicates that stockholders prefer a smaller numerator.
D. dividends are only available for distribution to common stockholders after the preferred stockholders have received their dividends.
Answer: A
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Non-quantitative nontariff barriers
A. often involve ownership. B. often involve government participation in trade, especially in customs and other administrative procedures. C. are virtual barriers. D. are not counted as nontariff barriers.
When establishing a global ethics training program, Jackson recommends all of the following elements, except
a. Ensure morally sensitive cultural education b. Provide education on international human rights c. Implement a program based on the company’s home ethics and culture d. Consider global cultural dimensions
Under the common law the location of title formed the basis of the sale of goods to the buyer
Indicate whether the statement is true or false
Answer the following statement(s) true (T) or false (F)
1. If the random variability in a time series is great, a small value of the smoothing constant is preferred so that we do not overreact and adjust our forecasts too quickly. 2. With fewer periods in a moving average, it will take longer to adjust to a new level of data values. 3. Qualitative forecasting methods are appropriate when historical data on the variable being forecast are either unavailable or not applicable. 4. A sequence of observations on a variable measured at successive points in time or over successive periods of time is known as a time series. 5. Any recurring sequence of points above and below the trend line lasting less than one year can be attributed to the cyclical component of the time series.