CPA BEC Practice Test 1
Exam Summary
0 of 10 Questions completed
Questions:
Information
You have already completed the exam before. Hence you can not start it again.
Exam is loading…
You must sign in or sign up to start the exam.
You must first complete the following:
Results
Results
0 of 10 Questions answered correctly
Your time:
Time has elapsed
You have reached 0 of 0 point(s), (0)
Earned Point(s): 0 of 0, (0)
0 Essay(s) Pending (Possible Point(s): 0)
Average score |
|
Your score |
|
Categories
- Not categorized 0%
- 1
- 2
- 3
- 4
- 5
- 6
- 7
- 8
- 9
- 10
- Current
- Review
- Answered
- Correct
- Incorrect
-
Question 1 of 10
1. Question
In enterprise risk management, which of the following comments addresses a company’s commitment to core values according to the Committee of Sponsoring Organizations (COSO) of the Treadway Commission?
CorrectIncorrect -
Question 2 of 10
2. Question
For a $20,000 promissory note there is a stated rate of 8% with interest payments to be paid semiannually. There is a loan origination fee of $100 and a documentary tax of $50 assessed by the state.
What is the annual percentage rate?
CorrectIncorrect -
Question 3 of 10
3. Question
The cost of common stock for XYZ company is 9.4%, the cost of preferred stock is 7.8%, and the weighted interest rate on the company debt is 5%. Assume that the market value percentages of each component of the capital structure are 55% common stock, 20% preferred stock, and 25% debt. The corporate tax rate is 30%.
What is XYX company’s Weighted Average Cost of Capital (WAAC)?
CorrectIncorrect -
Question 4 of 10
4. Question
Utilize the capital asset pricing model (CAPM) to calculate the rate of return for the below facts.
Beta = 1.15
Market Return – 15%
Risk Free Rate = 6%
CorrectIncorrect -
Question 5 of 10
5. Question
XYZ Corp capital structure is defined below:
Debenture bonds = $15,000,000
Preferred Equity = $5,000,000
Common Equity = $44,000,000
The financial leverage of XYZ Corp. would increase as a result of:
CorrectIncorrect -
Question 6 of 10
6. Question
True or False – A company wants to have a high quick ratio when doing financial analysis at year end?
CorrectIncorrect -
Question 7 of 10
7. Question
ABC Corp. sells 5,000 widgets per year. The widgets are manufactured in groups of 1,000 and requires 4 weeks lead time for production. ABC Corp also maintains an absolute minimum safety stock of 800.
Assuming 50 week year, and constant demand, compute ABC Corp’s re-order point for widgets.
CorrectIncorrect -
Question 8 of 10
8. Question
Out of the following cases, which one would make a company reduce the amount of average inventory?
CorrectIncorrect -
Question 9 of 10
9. Question
True or False: Process costing is a method of product costing that averages costs and applies them to a large number of homogeneous items?
CorrectIncorrect -
Question 10 of 10
10. Question
Assume the following information:
Work-in-process, beginning balance = 300 units, 25% complete
Unites completed and transferred out = 500 units
Work in process, ending = 100 units, 40% complete
Compute the equivalent units of production using the FIFO method and the weighted average cost method.
Equivalent Units of Production FIFO Equivalent Units of Production A 550 420 B 540 465 C 550 475 D 600 600 CorrectIncorrect