Part 1/ Multiple choice questions

1. Financial strategy of the enterprise is:

1 determination of a long-term course in the field of enterprise Finance, solving large-scale
problems
2 solving the problems of a particular stage in the development of the financial system of
the enterprise
3 development of fundamentally new forms and methods of redistribution of funds of the
enterprise
(1 mark)
2. Calculate the current liquidity ratio. Current assets are equal to 5 324 thousand.
RUB. the total section "Capital and reserves" — 6 400 thousand. RUB. no Long — term
liabilities, the total amount of business assets of the organization-9 670 thousand. RUB.:
1. 1,85,
2. 1,53;
3. 1.2.
(1 mark)
3. In whose interests should prevail financial managers:
1 public authorities
2 creditors
3 buyers and customers
4 owners (shareholders)
5 workers and employees
6 strategic investors
(1 mark)

4. The company's management should pursue financial goals:

1 getting sufficient profit
2 managing assets and liabilities of the company
3 prevention of cash shortages
(1 mark)

5. The financial instruments are:

1 revenue, cost, profit;
2 profit, Bank loans, short-term liabilities;
3 cash, securities, options, forwards, futures, swaps.
(1 mark)

6. The main purpose of the Corporation's financial management is:

1 maximization of the firm's market price;
2 maximizing profits;
3 to provide the company with sources of funding;
4 all of the above.
(1 mark)

7. The ratio of sales revenue to sales revenue as a percentage is:

1. Liquidity;
2. Solvency;
3. Maneuverability;
4. Product profitability;
5. Profitability of sales
(1 mark)

8. Loans secured by real estate represent:

1 mortgage;
2 leasing;
3 monitoring;
4 forfeiting.
(1 mark)

9. Liquidity analysis allows:

1. Assess the ability of an enterprise to meet its current obligations;
2. Assess the composition of funding sources;
3. Evaluate the effective investment in the enterprise
(1 mark)

10. The document of the financial statements reflecting sources of forming of money of
the enterprise and the direction of their use in monetary terms for the certain date is:
1 statement of financial performance;
2 statement of profit and loss;
3 cash flow statement;
4 the balance sheet.
(1 mark)

11. The type of intangible assets, which are a graphic symbol, inscription or a
combination thereof, which make it possible to distinguish goods and services of one legal
entity and individuals from similar goods and services of other manufacturers, is called:
1 patent;
2 image;
3 trademark;
4 license.
(1 mark)

12. Business activity ratios include:

1 the coefficients of the capital productivity and fondamenti
2 the profitability ratios
3 labour productivity
4 the rate of turnover of current assets
5 dividend payout ratios
(1 mark)

13. The losses of the company are reflected:

1 in the assets of the balance sheet of the company
2 in the statement of cash flows
3 in the statement of profit and loss
(1 mark)

14. Non-current assets of the company are 5000 thousand. RUB. Long — term loans-2
000 thousand. RUB. Equity capital — 6 000 thousand. RUB.. Current liabilities-2500
thousand. RUB. Determine the working capital:
1. 3000 thousand rubles.;
2. 1000 thousand RUB.;
3. 1500 thousand rubles.;
(1 mark)

15. Calculate the profitability of sales, if the volume of sales-6 million rubles., variable
costs-3.5 million rubles., fixed costs-1.3 million rubles. :
1 20%;
2 18%;
3 23%.
(1 mark)

16. Net return on sales is defined as the ratio-.

1 net profit (loss) to average annual value of assets;
2 net profit to sales revenue.
(1 mark)

17. With the revenue from sales in the amount of 16 800 rbl. and cost 12 400 rubles
profitability of sales amounted to:
1 35,5%;
2 26.2%;
3 is 73.8%.
(1 mark)

18. Determine the amount of completely liquid assets, if according to the financial
statements cash - 120 thousand. RUB., short-term financial investments-40 thousand.
RUB., long — term financial investments-100 thousand. RUB.:
1 120 thousand rubles.;
2 160 thousand rubles.;
3 260 thousand rubles.
(1 mark)

19. Calculate the return on capital of the organization, if its turnover was 1.2 turnover
and return on sales-15%:
1. Eighteen%;
2. Twenty%;
3. 25%.
(1 mark)

20. By what formula can be calculated Net working capital (CHOK or own working
capital SOS)
1. SK+DZK-VA;
2. DS+TMZ+DZ-KPC;
3. VA-THE;
4. TA-SK;
Where IC-equity, ZK-long-term borrowed capital, VA-non-current assets, DS-cash, TMZ-
inventories, DZ-accounts receivable; KZK-short-term borrowed capital, TA-current assets
(1 mark)

21. The economic sense of using the WACC indicator is that it is:
a) an index of profitability of operating activities of the company;
b) an indicator of the profitability of an investment project;
C) basic indicator of investment efficiency;
g) increased cost of borrowings of the company.
(1 mark)

22. The effect of the operating lever is 3. This means, for example, the following:
a) if the company increases sales by 5%, the projected profit will increase by 15%;
b) if the company increases its sales volume by 5%, the projected profit will decrease by
15%;
C) if the company increases fixed costs by 5%, the revenue from the sale will be reduced
by 15%;
C) if the company increases variable costs by 5%, the profit will increase by 15%.
(1 mark)

23. The order of the items of the balance sheet in order of liquidity:
1 cash
2 accounts receivable
3 fixed assets
4 finished products
5 raw materials
(1 mark)

24. A type of trade and Commission operation combined with crediting of the client's
working capital, which is connected with assignment of unpaid payment claims for
delivered products (works, services) by the client-supplier, is:
1 assignment;
2 franchising;
3 forfeiting;
4 factoring.
(1 mark)

25. Cash flows/outflows from operating activities include:

1 payment of taxes
2 purchase of equipment
3 payment for raw materials
4 repayment of accounts receivable
5 issue of promissory notes
 (1 mark)

26. Cash flows/outflows from financing activities include:

1 financing of inventories
2 salary issue
3 issue of shares
4 depreciation charge
5 repayment of loans
(1 mark)

27. The cash flow statement is prepared on the basis of:

1 forecast statement of profit and loss;
2 capital investment budgets;
3 General overhead budgets;
4 long-term forecast of sales
5. forecast balance
(1 mark)

28. Cash inflow from operating activities forms:

1 obtained long-term loans and borrowings;
2 advances received from buyers and customers;
3 dividends and interest on short-term financial investments
(1 mark)

29. According to the method of evaluation in time bounded:

1 net cash flow;
2 current cash flow;
3 deficit cash flow.
(1 mark)

30. The amortization mechanism provides the possibility of:

1 simple reproduction of fixed assets;
2 extended reproduction of fixed assets;
3 simple reproduction and partially extended reproduction of fixed assets.
(1 mark)

31. Depreciation and amortization of fixed assets:

1 fully relate to the cost of production;
2 fully participate in the formation of taxable income;
3 are the source of cash generation.
(1 mark)

32. The turnover of TMZ has halved, but the average value of TMZ has remained
unchanged. How has the cost of production changed?
1. not changed
2. increased by 2 times
3. decreased by 2 times
 (1 mark)

33. The composition of working capital of the enterprise is not included:

1 items of work;
2 finished products in warehouses;
3 machinery and equipment;
4 cash and cash on hand.
(1 mark)

34. Select the most liquid of the current assets components listed below:
1 production stocks;
2 accounts receivable;
3 short-term financial investments;
4 deferred charges.
(1 mark)

35. The planned volume of sales of products on credit in the coming year (360 days.)-
72 000 thousand rubles. Based on the terms and forms of settlements with debtors, the
average maturity of receivables is 18 days. Determine the value of the allowable accounts
receivable:
1 3 600 rubles.;
2 4 000 rubles.;
3 4 200 rubles.
(1 mark)

36. What funds from external sources can attract the company to Finance capital
investments:
(a) reinvested earnings;
b) depreciation charges of the enterprise;
(C) working capital;
d) Bank credit;
e) budgetary allocations?
(1 mark)

37. The financial cycle is the turnover period:

1 cash invested in current assets from the date of repayment of accounts payable for raw
materials to collection of accounts receivable;
2 the material circulating assets used for service of production process from the moment of
receipt of raw materials and materials before the moment of shipment of the production
made of them.
(1 mark)

38.
Determination of the optimal level of cash of the enterprise at random nature of cash
receipts and payments is carried out on the basis of:
1 model of Baumol;
2 the Gordon model;
3) model the Miller—Orr.
(1 mark)

39. The average duration of one turnover of accounts receivable is 12 days, production
stocks — 30 days, accounts payable — 14 days. Determine the duration of the operational
(production and commercial) cycle:
1 43days;
2 57 days;
2 42 days.
(1 mark)

40. What terms are synonymous:

1 financial assets;
2 current assets;
3 current assets;
4 assets non-current?
(1 mark)

41. The sum of money that is transferred to the account of the performance of the
contractual obligation, which is not a way to ensure it, is called:
a) Aval;
b) in advance;
C) Deposit;
d) bribe
(1 mark)

42. By the structure of current assets understand:

1 set of elements forming them;
2 specific weight of each article in their total volume;
3 the combination of funds.
(1 mark)

43. The company's current assets include:

1 stocks of materials, fuel, finished goods in stock;
2 current operating assets and funds circulation;
3 work in process, finished products on warehouse;
4 production inventories, work-in-progress, deferrals, circulation funds;
5 equipment shops, finished products in stock.
(1 mark)

44. Slowly realized current assets include:

1 goods shipped, accounts receivable, advances paid;
2 cash and short-term investments;
3 stocks of finished goods, raw materials.
(1 mark)

45. Turnover ratio of current assets characterizes:

1 size of sold products per 1 RUB. of production assets;
2 average duration of one turnover of current assets;
3 number of revolutions of working capital for the relevant reporting period;
4 level of technical equipment of work;
5 the cost of production assets per 1 ruble of commodity production.
(1 mark)

46. The company's own sources of working capital financing do not include:
1 authorized capital of the company;
2 payable to employees for wages and charges on this amount;
3 depreciation charges;
4 profit.
(1 mark)

47. The period of turnover of current assets is characterized by:

1 time of working capital in inventories and work-in-progress;
2 time of passage of the stages of acquisition, production and sale of products by current
assets;
3, the average speed of current assets;
(1 mark)

48. The increase in accounts receivable may be caused by:

1 the company's imprudent credit policy towards its customers, illegible choice of
partners;
2 the onset of insolvency and bankruptcy some consumers;
3 too a high rate of increase in sales;
4 difficulties in selling products;
5 all of the above.
(1 mark)

49. The acceleration of receivables turnover can be achieved by increasing:

1 sales revenue;
2 accounts payable;
3 stocks.
(1 mark)

50. The supplier has concluded an agreement with the buyer on March 3, "1/15
нетто20". Determine how many you can use the discount
1. until 4 March;
2. prior to March 18,;
3. until 15 March;
4. until 20 March
(1 mark)

51. What attracted funds are the cheapest for the company:
1 accounts receivable;
2 Bank loans;
3 accounts payable;
4 bonded loan?
(1 mark)

52. Accounts payable as part of the sources of financing of the company's current assets
include:
1 by its own sources;
2 to borrowed sources.
(1 mark)

53. Accelerating the turnover of accounts payable is a factor:

1 improvement of the financial condition of the company;
2 deterioration of the financial condition of the company;
3 does not affect the financial position of the company.
(1 mark)

54. The turnover of accounts payable depends on the following factors:

1 prices for the products sold;
2 costs of sold products;
3 income tax rates;
4 all the above.
(1 mark)

55. Slower turnover of accounts payable as compared to receivables creates conditions

for:
1 to improve the solvency;
2 increasing profitability;
3 reduce the need for their own working capital.
(1 mark)

56. Variable costs include:

1 salary of managerial personnel
2 depreciation charges
3 administrative and management costs
4 material costs for raw materials
5 advertising costs
6 interest on the loan
(1 mark)

57. What of the following increases the equity capital of the enterprise?
1. dividends paid in cash;
2. stock split;
3. none of the above
(1 mark)

58. What funds from external sources can attract the company to Finance capital
investments:
1 reinvested profit;
2 depreciation charges of the enterprise;
3 working capital;
4 Bank credit;
5 budgetary allocations?
(1 mark)

59. The indicator on use of borrowed funds, which have an impact on the change in the
coefficient of ROE is:
1 production leverage;
2 the effect of financial leverage;
3 the stock of financial strength;
4 break-even point.
(1 mark)

60. To calculate the value of capital of the company under the following conditions, the
total amount of capital 11200руб., these include authorized capital of 2 000 RUB.,
retained earnings — 1 800rub., long-term loans — 7 400 RUB With the stock returns of
the firm — 30%; the cost of retained earnings — 34%; the average printed rate of interest
and long — term loans 25%:
1 27.3;
2 30.0;
3 is 29.7.
(1 mark)

Part 2/ Practice questions

1. Calculate the value of the target company using the market method based on the
p/EBITDA multiplier (profit before taxes, interest, depreciation).
The average for companies similar:
Net profit-1000, taxes-350, interest-120,
Depreciation-80, borrowed capital-1500, the acquisition price 5000. EBITDA of the
company-goals-2000.
(4 marks)

2. The company's liquidation value is $ 5.3 billion. projected average annual net cash flow
of 1,800 million dollars. The weighted average cost of capital is 10%. Determine what is
more profitable liquidation or reorganization (through the calculation of the economic
value of the enterprise). Recommended period for calculation is 3 years.
(4 marks)

3. Calculate the weighted average cost of capital and EVA : ordinary shares in the amount
of R 500 million, dividends of 25% privileged shares 100 million rubles , dividends of
28%, bonds of 200 million rubles, coupon yield of 14 %, a loan of 300 million, a 20% rate.
EBIT - 150 million rubles.
(4 marks)
4. Calculate the value added for the company "Spring goods", if sales revenue is 7 million
rubles, production cost 3 million rubles, administrative and commercial expenses – 2
million rubles., income tax 20%, invested capital 4 million rubles, the average price of
capital 16%.
(4 marks)

5. Net profit of the company 80 000, total assets 1520 000, share capital 400 000, number
of issued shares 4000 PCs. Share of reinvested profit 75 %. The price of borrowed sources
is 14 % per annum. To calculate EPS, dividend per share, dividend rate, WACC
(4 marks)

6. Calculate the financial leverage with the following indicators: invested capital 12000 Tr,
the rate of income tax 20%, operating profit 3000 Tr. When using borrowed funds. Equity
5000, the price of credit resources 13% per annum.
(4 marks)

7. Calculate the full yield of the bond, face value 1000, coupon yield 8%, sale price 940,
maturity 3 years.
(4 marks)

8. Credit limit 3000 Tr, the rate of overdraft 18 % per annum.

Calculate the amount used overdraft, overdraft fee, the balance on the R. S.
A) account 4000 Tr, obligations to pay 6000 Tr, revenue received after 10 days in the
amount of 8000 Tr.
B) the balance of option A, obligations 7000 Tr, revenue received after 3 days 1 000 Tr
and after 12 days 5000 Tr
(4 marks)

9. Collected accounts receivable in the amount of 1000 t. RUB., expected maturity of 45

days, turnover on factoring services for the previous month 1200 t. RUB. risk Group for
the seller 2, for the buyer 3.
The funding ratio of 90 %. Calculate the amount to be received, factoring payment, the
amount of the returned reserve.
(4 marks)
10. Par value of shares 1000 rubles, number of shares-10 000 PCs, net profit a) 5000 000
rubles, b) 10 000 000 rubles.
Options.
1) the Fixed rate par value (preferred stock) – 30%
2) a fixed share of profit allocated to dividends and development (dividend payout ratio-30
% and reinvestment ratio-70%)
3) on a residual basis after deducting a fixed amount for development. We need 6 million
for the investment project.
(4 marks)