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R"2&- K,-;^,, *d"oot al A.,*-,,,1^*-7 MAS-12
FiNANCIAL STATEM ENT ANALYSIS

Items 3G and.3H_are ba$qd on the fqLlo.rgtng$fprmgtiqn

Tesoro Company had the following results in June:

sares
Variable costs
Httro ffioo
401000 ___18_fg!*
Contribution margin e.3,"0.,p"e0 p*?g,{$g

h Budgeted sales were 10,000 units, actual sales were g,700 units.
D 3G) What is the sates price variance?
a. P l,l00 unfavorable c. P 900 unfavorable
b. P 1,000 favorable d. P 400 favorable

c 3H) What is the sales volunre variance?

a. P 1,100 unfavorable c. P 900 unfavorable
b. P 1,000 favorable d. P 400 favorable

urRAp- ur EX E&qIsEs_{t!.ulue-E-eualEil
1. In a single-period common-size incorrre statement, what is normally tlre base amount (100o/o)?
h a. Net sales c. Net credit sales
b, Gross sales d. Gross credit sales
2. In financial statement analysis, expressinq all financial statenlent items as a percentage of base-year:
amounts is called a

a. Ratio analysis c. Horizontal analysis

b. Vertical analysis d. Cash flow analysis
n '"-'l'li
L- 3. Which one of the following would NOT-he considered a liguidtv r*B?" '' t'{;t;'t
/
a. Quick ratio c. Betulfi'-on assets
b. Current ratio d. Inventory turnover
.'t 4, How are trade receivables used in the calculggg6-El$-}4cir,j,-teslultieji4d_12) ."ceivatrle turnover?
v a- (ri Denomrnator {2J oEnt-ffia't6f*--il- rrirrrumerator- (-ij Numerator
b. (1) Numerator (2) Denorninator d. (1) Not used (2) Numerator
Which ratio is most helpful in appraisi ng prcfitabiJltt?
V5 a. Debt ratio r c. Dividend payout
b. Acid-test ratio d. Return on assets
fl6 Which of the following ratios is most relevant to evaluating Sgft@gi?
a. Debt ratio c. Returrr on assets
b. Dividend yield cJ. Days,purchase in accounts payabld
How is the diglgncl,pel.BI9berng used in the calculation of the following ratios?
?7 Qividpnd P-Y:F-u! pividerd-[9!( plqsEe-ro[rse*Bat-a
a. Not used Numerator Numerator
b. Numerator Denonrinator Not used
c. Numerator Not used Numerator
d. Numerator Numerator Not used
Dividend yield x ppice-earninSs ratio =
DB a. Dividend per share c, Earnings per share
b. Market price per share d. Dividend payout ratio

t;, Return on sales x assets turnover =

a. Return on equity c. Equity multiplier
b. Return on assets d. Equity ratio

When a balance sheet amount is related to an incorne statement amount in cornputing a financial ratio
b10 (e.9., turnover),
a' The income statement amount should be r:clnverte<J to an average for the year
b. The balance sheet amount should be converted to an average for the year
c. Comparisons with industry ratios are not meaningful
d. Both amounts should be converted to market valLre

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