Mobile Company Manufactures Computer Technology Devices $\underline{\text {Selected Income Statement Data - for the year ending December 31, 2010:}}$

question 12

Multiple Choice

Mobile Company manufactures computer technology devices. Selected financial data for Mobile is presented below, use the information to answer the following questions:
$\begin{array} { l l c }\underline{ \text { Current Assets }} & \text { As of Dec. 31, 2010 } & \text { Dec. 31, 2009 } \\ \text { Cash and short-term investments } & \$ 1,267,038 & \$ 616,604 \\ \text { Accounts Receivable (net) } & 490,816 & 665,828 \\ \text { Inventories } & 338,599 & 487,505 \\ \text { Prepaid Expenses and other current assets } & \underline{292.511 }&\underline{ \$ 21.915} \\ \text { Total Current Assets } & \$ 2,388,964 & \$ 2,061,852 \\\\ \underline{\text { Current Liabilities } }& & \$ 38,108 \\ \text { Short-term borrowings } & \$ 25,190 & 210,090 \\ \text { Current portion of long-term debt } & 182,295 & 334,247 \\ \text { Accounts payable } & 296,307 & 743,999 \\ \text { Accrued liabilities } & 941,912 & 239.793 \\ \text { Income taxes payable } & \underline{203,049} &\underline{239,793} \\\text { Total Current Liabilities }&1,648,753&1,566,237\end{array}$

$\underline{\text {Selected Income Statement Data - for the year ending December 31, 2010:}}$
$\begin{array}{llcc} \text { Net Sales} &\$4,885,340 \\ \text { Cost of Goods Sold } &2,542,353\\ \text { Operating Income} &733,541\\ \text {Net Income } &230,101\\\end{array}$


$\underline{\text {Selected Statement of Cash Flow Data - for the year ending December 31, 2010:}}$

$\begin{array}{llcc} \text { Cash Flows from Operations} &\$ 1,156,084 \\\end{array}$
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Refer to the information for Mobile Company. Mobile's quick ratio changed by what percentage from 2009 to 2010?

• A) 30%
• B) 107%
• C) 25%
• D) 82%

Understand the structure and importance of business plans.

Understand the function and components of optical isolator circuits in I/O modules.

Recognize the versatility of discrete relay contact output modules in accommodating both AC and DC devices.

Distinguish between digital (discrete) modules and analog modules.

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Definitions:

Net Present Value

A financial metric that calculates the current value of a series of future cash flows by discounting them back to the present time.

Interest Rate

The part of a loan that accrues interest for the borrower, customarily denoted as a yearly percentage of the loan's outstanding sum.

Inflationary Premium

The portion of investment returns or interest rates that compensates for expected inflation, protecting the purchasing power of money.

Time Preference

The degree to which individuals value present goods or satisfaction over future goods or satisfaction.