This quiz works best with JavaScript enabled. Home > Accounting > Financial Statement Analysis > Financial Statement Analysis – Quiz 22 🏠 Homepage 📘 Download PDF Books 📕 Premium PDF Books Financial Statement Analysis Quiz 22 (9 MCQs) Quiz Instructions Select an option to see the correct answer instantly. 1. Which of the following is not a long-term borrowing A) Bonds. B) Debentures. C) Public deposits. D) Trade payables. Show Answer Correct Answer: D) Trade payables. 2. International Accounting Standard (IAS) No. 1 least likely requires which of the following? A) Neither assets and liabilities, nor income and expenses, may be offset unless required or permitted by a financial reporting standard. B) Audited financial statements and disclosures, along with updated information about the firm and its management, must be filed at least quarterly. C) Fair presentation of financial statements means faithfully representing the firm's events and transactions according to the financial reporting standards. D) None of above. Show Answer Correct Answer: A) Neither assets and liabilities, nor income and expenses, may be offset unless required or permitted by a financial reporting standard. 3. Two companies are identical except for substantially different dividend payout ratios. After several years, the company with the lower dividend payout ratio is most likely to have: A) Lower stock price. B) Higher debt/equity ratio. C) Less rapid growth of earnings per share. D) More rapid growth of earnings per share. Show Answer Correct Answer: D) More rapid growth of earnings per share. 4. Standard-setting bodies are responsible for: A) Establishing financial reporting standards only. B) Establishing and enforcing standards for financial reporting. C) Enforcing compliance with financial reporting standards only. D) None of above. Show Answer Correct Answer: B) Establishing and enforcing standards for financial reporting. 5. To rate the ability of a business to pay its current and long-term liabilities, investors use A) Solvency ratios. B) Profitability ratios. C) Liquidity ratios. D) Market ratios. Show Answer Correct Answer: A) Solvency ratios. 6. Income stocks typically have a higher dividend yield than growth stocks. A) True. B) False. Show Answer Correct Answer: A) True. 7. True of False:Financial ratios can help you ask the right questions but they rarely answer these questions on their own A) True. B) False. Show Answer Correct Answer: A) True. 8. Following is an Intangible Fixed Asset? A) Plant & Machinery. B) Land. C) Copyright. D) Furniture. Show Answer Correct Answer: C) Copyright. 9. Cost of Goods Sold are direct costs of producing products and services. A) True. B) False. Show Answer Correct Answer: A) True. ← PreviousRelated QuizzesAccounting QuizzesFinancial Statement Analysis Quiz 1Financial Statement Analysis Quiz 2Financial Statement Analysis Quiz 3Financial Statement Analysis Quiz 4Financial Statement Analysis Quiz 5Financial Statement Analysis Quiz 6Financial Statement Analysis Quiz 7Financial Statement Analysis Quiz 8Financial Statement Analysis Quiz 9 🏠 Back to Homepage 📘 Download PDF Books 📕 Premium PDF Books