3.02 Vocab Financial Planning I Part 2 Question Preview (ID: 62688)
3.02 Vocab Financial Planning I Part 2.
TEACHERS: click here for quick copy question ID numbers.
A company’s actual, fair worth
a) Intrinsic Value
b) 401 (k)
c) liquidity
d) Intermediate-term time horizon
subjective, include an assessment of the company’s product mix, the level of competition, management, strategy, and the strength of its brand
a) qualitative measure
b) quantitative measure
c) overvalued
d) undervalued
a thorough examination of a company’s financial statements, using comparisons and ratios to determine financial health
a) quantitative measure
b) overvalued
c) qualitative measure
d) undervalued
Stocks are too expensive given fundamentals
a) overvalued
b) undervalued
c) liquidity
d) profitability
Stocks are undervalued or “on sale”
a) undervalued
b) earnings per share
c) intrinsic value
d) market value
how much profit goes to each share of common stock
a) profitablity
b) overvalued
c) Roth IRA
d) net profit margin
how much of sales the company retains as profit
a) profitability
b) overvalued
c) undervalued
d) book value
what percentage of sales is left after subtracting the direct cost of producing the goods
a) gross profit margin
b) net profit margin
c) return on equity
d) price-earnings
the so-called “bottom line,” considers all aspects of running the business, summing up in one number how well the managers extract a profit from each dollar of sales.
a) net profit margin
b) return on equity
c) price-earnings
d) price-earnings and growth
measures management’s skill in turning your investment into profit
a) return on equity
b) price-earnings
c) price-earnings and growth
d) overvalued
the most popular measure of the value of a stock. Tells what investors are willing to pay for every dollar of earnings. Higher number = Higher expectations (based on industry average.
a) price-earnings
b) price-earnings and growth
c) overvalued
d) undervalued
Ratio that’s adds “Growth” to PE. In general, the lower the PEG the better; investors would be paying less for each unit of earnings growth.
a) price-earnings and growth
b) profitability
c) undervalued
d) overvalued
Play Games with the Questions above at ReviewGameZone.com
To play games using the questions from above, visit ReviewGameZone.com and enter game ID number: 62688 in the upper right hand corner or click here.
To play games using the questions from above, visit ReviewGameZone.com and enter game ID number: 62688 in the upper right hand corner or click here.
TEACHERS / EDUCATORS
Log In | Sign Up / Register
Log In | Sign Up / Register