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End of Chapter Video Quiz
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1
What is left over after current liabilities are subtracted from current assets?
A)working capital
B)residual capital
C)venture capital
D)operating capital
E)stakeholder capital
2
Which of the following represents the cash flows that result from a company's profit-making value-creation activities?
A)cash flows from investing
B)cash flows from operating activities
C)cash flows from financing
D)cash flows from cost savings
E)cash flows from residual activities
3
Which of the following reflects the profit (or loss) a company makes in terms of changes in its assets, liabilities, and owner's equity?
A)cash flow statement
B)income statement
C)K-1
D)K-4
E)balance sheet
4
Managers may use which of the following to help them understand how changes in their business model will affect the figures in their company's financial statements in the future?
A)financial calculus
B)financial ratios
C)financial balance sheets
D)statement of cash flows
E)all of the above
5
Another term for "profit margin" is:
A)return on assets
B)return on investments
C)return on sales
D)return on equity
E)none of the above







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