An income statement for Sam's Bookstore for the first quarter of the year is presented below: Sam's BookstoreIncome StatementFor Quarter Ended March 31Sales $900,000Cost of goods sold 630,000Gross margin 270,000Selling and administrative expenses Selling$100,000 Administration 104,000 204,000Net operating income $66,000 On average, a book sells for $50. Variable selling expenses are $5 per book with the remaining selling expenses being fixed. The variable administrative expenses are 4% of sales with the remainder being fixed. The contribution margin for Sam's Bookstore for the first quarter is:
A. $756,000
B. $144,000
C. $774,000
D. $180,000
Answer: B
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Which of the following statements is not true?
a. The depreciation method and the period of time selected to depreciate an asset can have a significant influence on income. b. There are many depreciation methods. c. The depreciation methods that recognize a large amount of depreciation in the later years of an asset's life are conservative. d. The straight-line depreciation method recognizes depreciation in equal amounts over each year of the life of the asset. e. There is sometimes a material difference in the lives used for depreciation between firms.
Which one of the following would not be considered a liquidity ratio?
A) current ratio. B) inventory turnover ratio. C) quick ratio. D) return on total assets ratio.
At the end of fiscal year 2012 (January 31, 2012 ) Walmart sales came primarily from three divisions. In order from the greatest sales to least, those divisions are:
A) U.S. discount and grocery operations, membership warehouse operations., and Walmart International operations. B) Walmart International operations, membership warehouse operations, and U.S. discount and grocery operations. C) membership warehouse operations, U.S. discount an grocery operations, and Walmart International operations. D) U.S. discount an grocery operations, Walmart International operations, and membership warehouse operations.
Nico bought 100 shares of Cisco Systems stock for $30.00 per share on January 1, 2013. He received a dividend of $2.00 per share at the end of 2013 and $3.00 per share at the end of 2014
At the end of 2015, Nico collected a dividend of $4.00 per share and sold his stock for $33.00 per share. What was Nico's realized holding period return? A) -40% B) +40% C) -36.36% D) +36.36%