Reference no: EM132468342

Question 1: In the cash flow statement, cash and cash equivalents end of period 2017 is NOT equal to:

1. Cash and cash equivalents on the 2018 balance sheet
2. Cash and cash equivalents beginning of period 2018
3. Cash and cash equivalents beginning of period 2017 + net cash provided by operating, investing and financing activities + foreign currency effect on cash and cash equivalents
4. Cash and cash equivalents on the 2017 balance sheet

Question 2: If a company has capital leases, as a financial analyst, how would you treat it?

1. As additional paid-in capital
2. As common shares
3. As debt
4. Exclude it from the financial statement

Question 3: Where can you find a company's stock-based compensation?

1. On the cash flow statement - operating activities
2. On the cash flow statement - financing activities
3. On the income statement - operating expenses
4. On the income statement - non-operating expenses

Question 4: Which of the following do you NOT include when calculating the closing balance of PP&E?

1. PP&E acquired under capital or financing leases
2. Cash capital expenditures
3. Changes in working capital
4. PP&E acquired through acquisitions

Question 5: Calculate a company's e-Commerce market share in their country based on the following hypothetic information:

1. First party sales 10 million
2. Third party selling commission 5 million
3. Third party commission charge 20%
4. Total country eCommerce 290 million

• 4%
• 9%
• 5%
• 12%

Question 6: Assuming the company will have the same inventory days in 2018 and 2019. What is the forecasted inventory in 2019 based on the information below?

1. 2018 Revenue 6,500
2. 2019 Revenue 7,600
3. 2018 Cost of sales 3,800
4. 2019 Cost of sales 4,100
5. 2018 Inventory 1,500

• 1,528.6
• 1,618.4
• 1,753.8
• 1,944.4

Question 7: Why is accounts payable projected using an assumption based on cost of sales? Select the best answer.

1. It is a practice mandated by financial institutions
2. It is an accounting rule under IFRS
3. Cost of sales typically has payment terms
4. Accounts payable is part of working capital

Question 8: Which of the following formula is used to calculate Free Cash Flow to Firm (FCFF)?

1. FCFF = EBIT + Depreciation & Amortization + Net Working Capital adjustment - Cash Capex - Stock Based Compensation + Other Non-Cash Expenses
2. FCFF = Net Operating Profit After Tax + Depreciation & Amortization - Tax Expense - Interest Expense + Cash Capex
3. FCFF = EBIT + Depreciation & Amortization + Net Working Capital adjustment + Cash Capex + Stock Based Compensation + Other Non-Cash Expenses
4. FCFF = Net Operating Profit After Tax + Depreciation & Amortization + Net Working Capital adjustment - Cash Capex + Stock Based Compensation + Other Non-Cash Expenses