This is “End-of-Chapter Exercises”, section 1.4 from the book Accounting in the Finance World (v. 1.0).
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Ramon Sanchez is a loan officer at Washington Bank. He must decide whether or not to loan money to Medlock Corporation. Which of the following would Ramon most likely consider when making this decision?
Which of the following is not a reason an investor would purchase stock in a corporation?
Which of the following would not be considered an example of a decision made using financial accounting information?
Which of the following is most likely to have a say in the policy decision of a large corporation?
Leon Williams is an investor in Springfield Corporation. On September 1, Year One, he purchased 150 shares of stock at a price of $45 per share. On October 15, Year One, Springfield distributed dividends of $1.50 per share. On December 31, Year One, Springfield’s stock is selling for $47 per share. Which of the following is the value of Leon’s investment on December 31, Year One?
Explain how each of the following might use the information provided by the financial accounting of Nguyen Company.
Mark each of the following with an (F) to indicate if it is financial information or an (N) to indicate if it is nonfinancial information.
Metro Corporation has:
The chapter introduced several forms of business, including a corporation, sole proprietorship, and partnership. Other forms of business exist as well. Do research to compare and contrast the following business forms:
Examine the following areas for each form of business: ease of organization and maintenance of form, number of people involved, government involvement, liability to owners, ease of exit, taxation, day-to-day management, and funding sources.
Corporations usually provide a good amount of financial information on their Web sites. Visit http://www.starbucks.com to access information about Starbucks. You will need to click “about us” at the top and then “investor relations” on the left.
Go the U.S. Department of Labor Web site at http://www.bls.gov/oco/ocos001.htm. Here you can learn about the profession of accounting.