Irish Air Services Has Determined Several Factors Relative to Its

question 264

Multiple Choice

Irish Air Services has determined several factors relative to its asset and financing mix. A. The firm earns 10 percent annually on its current assets.
B. The firm earns 20 percent annually on its fixed assets.
C. The firm pays 13 percent annually on current liabilities. D. The firm pays 17 percent annually on longterm funds.
E. The firm's monthly current, fixed and total asset requirements for the previous year are summarized in the table below:
$$\begin{array} { l c r r } \text { Month } & \begin{array} { c } \text { Current } \\\text { Assets }\end{array} & \begin{array} { c } \text { Fixed } \\\text { Assets }\end{array} & \begin{array} { c } \text { Total } \\\text { Assets }\end{array} \\\hline \text { January } & \$ 45,000 & \$ 100,000 & \$ 145,000 \\\text { February } & 40,000 & 100,000 & 140,000 \\\text { March } & 50,000 & 100,000 & 150,000 \\\text { April } & 55,000 & 100,000 & 155,000 \\\text { May } & 60,000 & 100,000 & 160,000 \\\text { June } & 75,000 & 100,000 & 175,000 \\\text { July } & 75,000 & 100,000 & 175,000 \\\text { August } & 75,000 & 100,000 & 175,000 \\\text { September } & 60,000 & 100,000 & 160,000 \\\text { October } & 55,000 & 100,000 & 155,000 \\\text { November } & 50,000 & 100,000 & 150,000 \\\text { December } & 50,000 & 100,000 & 150,000\end{array}$$
-The firm's annual profits on total assets for the previous year was___________

• A) $23,625
• B) $21,500
• C) $20,000
• D) $25,750

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Definitions:

Poor Listening

The inadequate ability to accurately receive or interpret messages during the communication process.

Communication Barriers

Obstacles or challenges that prevent clear, effective exchange of ideas or information between individuals or groups.

Borrowing Money

The act of obtaining funds from another party with the agreement to pay back at a later date, often with interest.

Constructive Criticism

Feedback given in a positive manner aimed at improving someone's behavior or work while encouraging personal growth.