The higher the net profit margin of a company, the more money the company earns.
Answer the following statement true (T) or false (F)
True
Rationale: The higher the net profit margin of a company, the more money the company earns. See 12-2: Investing in Common Stock.
You might also like to view...
Acme Global decided to start offering its employees a $1,000 bonus if they encourage a friend or family member to apply to the company. The employee does not get the bonus until the new hire has been working at Acme Global for one year. Acme Global’s new policy is properly referred to as _________.
A. open recruitment B. targeted recruitment C. closed recruitment D. employee referrals E. None of the above
Domino Company ages its accounts receivable to estimate uncollectible accounts expense. Domino began Year 2 with balances in Accounts Receivable and Allowance for Doubtful Accounts of $76,500 and $5,800, respectively. During Year 2, the company wrote off $4,640 in uncollectible accounts. In preparation for the company's estimate of uncollectible accounts expense for Year 2, Domino prepared the following aging schedule:Number of DaysPast DueReceivablesAmount% Likely to beUncollectibleCurrent $104,000 1% 0-30 45,000 5% 31-60 9,920 10% 61-90 4,440 25% Over 90 3,800 50% Total $167,160 What amount will be reported as uncollectible accounts expense on the Year 2 income statement?
A. $1,512 B. $6,132 C. $4,640 D. $7,292
In countries where debt financing is more common (Germany and Japan) compared to equity financing, there is greater emphasis on reporting the ability of the company to earn profits for its investors rather than the ability to repay debt.
Answer the following statement true (T) or false (F)
Which of the following is not a correct statement?
a. The coefficient of variation allows us to compare two sets of data based on different measurement units. b. Chebyshev's theorem applies only to normal distributions. c. Standardized values have no units of measure. d. For distributions that are bell-shaped and symmetric, about 68% of the observations will fall within one standard deviation of the mean. e. The vertical line within the box in the box-and-whisker plot represents the median.