1) A highly automated plant would generally have
A) more variable than fixed costs.
B) more fixed than variable costs.
C) all fixed costs.
D) all variable costs.

 

2) New common stock is more expensive than ke
A) to compensate for risk.
B)  to compensate for more dividends.
C) to compensate for expansionary problems.
D) to cover distribution costs.

 

3) One of the first considerations in cash management is
A) to have as much cash as possible on hand.
B) synchronization of cash inflows and cash outflows.
C) profitability.
D) to put any excess cash into accounts receivable.
 


4) The difference between the amount of cash on the firm's books and the amount credited to it by the bank is
A) an overdraft.
B)  interest revenue.
C) extended disbursement.
D) float.

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