CFA Level 1 －模考试题(3)（AM）－Q46-50

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Question 46

Which of the following statements about ratios and ratio analysis is least likely correct?

A) Some of the more common differences in accounting methods between firms involve the valuation of inventory and recording depreciation.

B) The total debt ratio measures total debt relative to owners’ equity.

C) Financial ratios can be used to evaluate management’s performance.

D) The financial leverage ratio is calculated as total assets divided by total equity.

Question 47

Walsh Furniture has purchased a machine with a 7-year useful life for $250,000. At the end of its life it will have an estimated salvage value of $15,000. Using the double-declining balance (DDB) method, depreciation expense in year 2 is closest to:

A) $33,570.

B) $58,750.

C) $51,020.

D) $71,430.

Question 48

On January 31, Dowling Inc. borrowed funds to purchase equipment for its business operations. On the same day, it also recorded the cost of salaries incurred to January 31 , which will be paid on February 6. When these two transactions are recorded on January 31, which of the following financial statement items will increase the most?

A) Assets.

B) Expenses.

C) Liabilities.

D) Revenues.

Question 49

Pacific, Inc.’s financial information includes the following, with “change” referring to the difference from the prior year (in $ millions):

Net Income

Change in Accounts Receivable

Change in Accounts Payable

Change in Inventory

Loss on sale of equipment

-8

Gain on sale of real estate

Change in Retained Earnings

+21

Dividends declared and paid

Pacific, Inc.’s cash flow from operations (CFO) in millions was:

A) $27.

B) $21.

C) $15.

D) $23.

Question 50

A junior analyst wants to understand the underlying components of the DuPont method to better see what changes are driving the changes in ROE. Which of the following items is a direct component of the original (three-part) DuPont equation?

A) Asset turnover.

B) Gross profit margin.

C) Debt-to-assets ratio.

D) Debt-to-equity ratio.