Try the AICPA BEC Latest Test Book free demo and assess the validity of our BEC Latest Test Book practice torrent. You will enjoy one year free update after purchase of AICPA study dumps. The comprehensive contents of BEC Latest Test Book pdf dumps will clear your confusion and ensure a high pass score in the real test. Are you preparing for the AICPA certification recently? Maybe the training material at your hands is wearisome and dull for you to study. Here Omgzlook will give you a very intelligence and interactive BEC Latest Test Book study test engine. What’s more, if you fail the BEC Latest Test Book test unfortunately, we will give you full refund without any hesitation.
AICPA Certification BEC So just come on and join our success!
You can check out the interface, question quality and usability of our BEC - CPA Business Environment and Concepts Latest Test Book practice exams before you decide to buy it. On the other hand, Software version of our BEC Valid Test Camp Materials practice questions is also welcomed by customers, especially for windows users. As for PPT online version, as long as you download the app into your computer.
How to improve your IT ability and increase professional IT knowledge of BEC Latest Test Book real exam in a short time? Obtaining valid training materials will accelerate the way of passing BEC Latest Test Book actual test in your first attempt. It will just need to take one or two days to practice AICPA BEC Latest Test Book test questions and remember answers. You will free access to our test engine for review after payment.
So the AICPA BEC Latest Test Book exam is a great beginning.
We have applied the latest technologies to the design of our BEC Latest Test Book exam prep not only on the content but also on the displays. As a consequence you are able to keep pace with the changeable world and remain your advantages with our BEC Latest Test Book training braindumps. Besides, you can consolidate important knowledge for you personally and design customized study schedule or to-do list on a daily basis. As long as you follow with our BEC Latest Test Book study guide, you are doomed to achieve your success.
One more to mention, we can help you make full use of your sporadic time to absorb knowledge and information. We would like to provide our customers with different kinds of BEC Latest Test Book practice guide to learn, and help them accumulate knowledge and enhance their ability.
BEC PDF DEMO:
QUESTION NO: 1
Demand for a product tends to be price inelastic if:
A. The product is considered a luxury item.
B. Few good complements for the product are available.
C. People spend a large share of their income on the product.
D. Few good substitutes are available for the product.
Answer: D
Explanation:
Choice "d" is correct. Demand for a product tends to be price inelastic if few good substitutes are available
for the product. Even if price increases, consumers are then unable to switch to substitute goods, because there aren't any.
Choice "a" is incorrect. Luxury items may have good substitutes available.
Choice "b" is incorrect. Complementary goods are those whose demand fluctuates in unison; substitute
goods are more relevant here.
Choice "c" is incorrect. If consumers spend a large share of their income on the product, they will be very
sensitive to any price changes and hence product demand would be more "elastic."
QUESTION NO: 2
Which of the following statements regarding the existence of substitute products is true?
A. The impact of substitutes will have more of an effect on the competitive environment of a firm if the
substitutes are readily available for customers to obtain.
B. When the cost of buyers switching to new products is high, the effect of substitutes on the competitive
environment of a firm is high.
C. If many close substitutes exist, buyers have little choice of products and may be willing to pay a higher
price for the products that are available.
D. If substitutes have equal performance and are priced at or below the firm's product, the competitive
force of substitutes with respect to the firm is weak.
Answer: A
Explanation:
Choice "a" is correct. The impact of substitutes will have more of an effect on the competitive environment
of a firm if the substitutes are readily available to consumers.
Choice "b" is incorrect. When the cost of buyers switching to new products is low (not high), the effect of
substitutes on the competitive environment of a firm is high.
Choice "c" is incorrect. If few (not many close) substitutes exist, buyers have little choice of products and
may be willing to pay a higher price for the products that are available.
Choice "d" is incorrect. If substitutes have equal performance and are priced at or below the firm's product,
the competitive force of substitutes with respect to the firm is strong (not weak).
QUESTION NO: 3
A working capital technique that increases the payable float and, therefore, delays the outflow of cash is:
A. Concentration banking.
B. A draft.
C. A lock-box system.
D. The use of a local post office box.
Answer: B
Explanation:
Choice "b" is correct. A draft is a working capital technique that increases the payable float and, therefore,
delays the outflow of cash.
Each of the three following choices accelerate the flow of cash and/or data:
Choice "a" is incorrect. Concentration banking automatically channels funds from every source of the business into a single usable account, thus quickly identifying available funds each day, and moving them
to accounts that have funding requirements that day, and investing the remainder in short-term, interestbearing instruments until needed.
Choice "c" is incorrect. A lock-box system is simply a central collection location that receives payment checks (generally, the bank where a central checking account is maintained by the firm).
Choice "d" is incorrect. The use of a local post office box allows more rapid access to mail than actual delivery to a street address.
QUESTION NO: 4
If a firm increases its cash balance by issuing additional shares of common stock, working capital:
A. Remains unchanged and the current ratio remains unchanged.
B. Increases and the current ratio remains unchanged.
C. Increases and the current ratio decreases.
D. Increases and the current ratio increases.
Answer: D
Explanation:
Choice "d" is correct. If a firm increases its cash balance by issuing additional shares of common stock,
working capital increases and the current ratio increases.
QUESTION NO: 5
Youngsten Electric is contemplating new projects for the next year that will require
$30,000,000 of new
financing. In keeping with its capital structure, Youngsten plans to use debt & equity financing as follows:
* Issue $10,000,000 of 20-year bonds at a price of 101.5, with a coupon of 10%, and flotation costs of
2 .5% of par value.
* Use internal funds generated from earnings of $20,000,000.
The equity market is expected to earn 15%. U.S. treasury bonds currently are yielding 9%. The beta coefficient for Youngsten's common stock is estimated to be .8. Youngsten is subject to a 40% corporate
income tax rate. Youngsten has a price/earnings ratio of 10, a constant dividend payout ratio of 40%, and
an expected growth rate of 12%.
An analysis of Youngsten's planned equity financing using Capital Asset Pricing Model (or Security
Market Line) would incorporate only the:
A. Expected market earnings, the current U.S. Treasury bond yield, and the beta coefficient.
B. Expected market earnings and the price' earnings ratio.
C. Current U.S. Treasury bond yield, the price/earnings ratio, and the beta coefficient.
D. Current U.S. Treasury bond yield and the dividend payout ratio.
Answer: A
Explanation:
Choice "a" is correct. The capital asset pricing model formula is:
R = RF + B (RM-RF)
Where:
R = Required return rate on equity
RF = Risk free rate earned on U.S. treasury bonds.
B = Beta coefficient
RM = Expected market return (earnings).
Choices "b", "c", and "d" are incorrect, per the above Explanation:.
If you put just a bit of extra effort, you can score the highest possible score in the real Amazon SAA-C03-KR exam because our Amazon SAA-C03-KR exam preparation dumps are designed for the best results. The content of our Microsoft PL-500 practice engine is chosen so carefully that all the questions for the Microsoft PL-500 exam are contained. VMware 5V0-31.23 - You can totally rely on us. ISACA CISA-KR - You can download our app on your mobile phone. Omgzlook's study guides are your best ally to get a definite success in Microsoft AZ-140 exam.
Updated: May 26, 2022