Question 1
Tibbs Inc. had the following data for the year ended December 31, 2020: Net income = $500; Net operating profit after taxes (NOPAT) = $600; Total assets = $3,400; Short-term investments = $400; Shareholders’ equity = $2,200; Total debt = $1,200; and Total operating capital = $2,800. What was its return on invested capital (ROIC)?
◦
19.96%
◦
20.07%
◦
21.43%
◦
22.39%
Question 2
To estimate a firm’s cash flow from operations, depreciation is added back to net income. Which of the following is true regarding depreciation?
◦
Depreciation is an extraordinary expense that is not always deducted when calculating net income, and it should not be added back to net income when calculating a firm’s cash flow from operations.
◦
Depreciation is an extraordinary expense that is not always deducted when calculating net income, and it must be added back to net income when calculating a firm’s cash flow from operations.
◦
Depreciation is a noncash expense resulting from the purchase of fixed assets, but it should not be added back to net income when determining a firm’s cash flow from operations.
◦
Depreciation is a noncash expense resulting from the purchase of fixed assets, and it must be added back to net income when determining a firm’s cash flow from operations.
Blood flow in artery due to Cholesterol
Internal structures at the back of the eye.
Redrape the back, face the head of the table, and apply passive touch as finishing technique. Gently ...
Thumb petrissage to the paraspinal muscles up the back from hip to shoulders. Use the thumbs to ...
Relationship between Income per Capita and Population Growth
A Pahoehoe Lava Flow