If a company is growing and expanding its accounts receivable and inventory faster than its current operating facilities, its cash flow from operations will normally be: Normally, cash flow from investing activities will start providing cash during which phase(s) of the product life cycle? When preparing the statement of cash flows using the indirect method, an increase in accounts payable would appear as: An example of an item that is deducted from net income when preparing the operating activities section of the statement of cash flows using the indirect method is: Which of the following is not an expense excluded when calculating EBITDA? The profit margin for ROA indicates the ability of the firm to generate earnings for a particular level of: Which of the following would not be considered a committed fixed cost (a cost that is incurred regardless of the level of activity during the period)? To calculate diluted EPS, the accountant does all of the following except: Asset turnover represents: Firms with high levels of operating leverage experience which of the following in comparison to firms with low levels of operating leverage?  

1. If a company is growing and expanding its accounts receivable and inventory faster than its current operating facilities, its cash flow from operations will normally be:

Less than net income

2. Normally, cash flow from investing activities will start providing cash during which phase(s) of the product life cycle?

Maturity, decline

3. When preparing the statement of cash flows using the indirect method, an increase in accounts payable would appear as:

An increase in the operating activities section

4. An example of an item that is deducted from net income when preparing the operating activities section of the statement of cash flows using the indirect method is:

Income from an investment account for using the equity method

5. Which of the following is not an expense excluded when calculating EBITDA?

Administrative expense

6. The profit margin for ROA indicates the ability of the firm to generate earnings for a particular level of:

Sales

7. Which of the following would not be considered a committed fixed cost (a cost that is incurred regardless of the level of activity during the period)?

Advertising expense

8. To calculate diluted EPS, the accountant does all of the following except:

Adds back to net income any compensation expense

9. Asset turnover represents:

The ability to generate sales from a particular investment in assets

10. Firms with high levels of operating leverage experience which of the following in comparison to firms with low levels of operating leverage?

Higher levels of risk in their operations