8C-Acct-C2: Which of the following combinations of ratios is preferable?
A high current ratio and a high debt ratio
A low current ratio and a low debt ratio
A low current ratio and a high debt ratio
A high current ratio and a low debt ratio
8B-Acct-B3: Cunningham, In sells MP3 players for $60 each. Variable costs are $40 per unit, and fixed costs total $60,000. What sales are needed by Cunningham to break even?
$80,000
$150,000
$180,000
$240,000
8B-Acct-B1: A company's past experience indicates that 60% of its credit sales are collected in the month of sale, 30% in the next month, and 5% in the second month after the sale; the remainder is never collected Budgeted credit sales were:
January$240,000February144,000March360,000
The cash inflow in the month of March is expected to be
$271,200
$205,200
$216,000
$259,200
8A-Acct-A2: A flower shop receives a large order on November 28 for $1,000. It delivers the goods on November 30. The customer is sent a statement on December 5 and a check from the customer is received on December 10. The flower shop follows GAAP and applies the revenue recognition principle. When is the $1,000 considered revenue?