RESOURCES
Self-Assessment
This Self-Assessment Quiz is meant to test your knowledge on basic financial accounting, business, and investing topics. These are the building blocks of developing a Capital Allocation Mindset to help make informed decision for your organization
(Click on each question to get the correct answer)
Answer: Revenue – expenses = net income
Answer: To show how much revenue and profit an organization earned in a given period
Answer: When it is earned (when cash is received)
Answer: When they can be “matched” to the revenue generated in a given period (when cash is paid for the expenses incurred)
Answer: Most likely mergers and acquisitions, as well as certain debt analyses
Answer: To show an organization’s financial position (e.g., assets relative to debt)
Answer: Cash from Operating Activities, Cash from Investing Activities, and Cash from Financing Activities
Answer: Current assets – current liabilities
Answer: Investments in long-term assets
Answer: Conduct in-depth analyses on publicly-listed organizations, and well as provide revenue and profit forecasts
Answer: Institutional investors
Answer: Debt market investors and lenders
Answer: The Securities and Exchange Commission
Answer: Every 90 (180) days
Answer: 10-K and/or Annual Report
Answer: Financial Accounting Standards Board (International Accounting Standards Board)
Answer: Management Discussion & Analysis (MD&A) section