首页
外语
计算机
考研
公务员
职业资格
财经
工程
司法
医学
专升本
自考
实用职业技能
登录
外语
Read the following article about annual reports and the questions on the opposite page. For each question(13-18), mark one lett
Read the following article about annual reports and the questions on the opposite page. For each question(13-18), mark one lett
admin
2013-08-03
41
问题
Read the following article about annual reports and the questions on the opposite page.
For each question(13-18), mark one letter(A, B, C or D)on your Answer Sheet.
How to Read Annual Reports
First, turn back to the report of the certified public accountant. This third-party auditor will tell you right off the bat if Galaxy’s report conforms with "generally accepted accounting principles". Then go to the footnotes. Check to see whether earnings are up or down. The footnotes often tell the whole story.
Next, turn to the letter from the chairman. Typically addressed "to our shareholders," it’s up front in more ways than one. The chairman’s tone reflects the personality and well-being of the company. In his letter, the chairman should tell you how the company fared this year. But more importantly, the letter should tell you why. Keep an eye out for sentences that start with " Except for ..." and " Despite the ... " They are clues to problems. On the positive side, a chairman’s letter should give you insights into the company’s future and its stance on economical or political issues that may affect it.
Now begin digging into the numbers!
One source is the balance sheet. It is a snapshot of how the company stands at a single point in time. At the top are assets — everything the company owns. Things that can quickly be turned into cash are current assets. On the bottom are liabilities — everything the company owes. Current liabilities are the debts due in one year, which are paid out of current assets. The difference between current assets and current liabilities is working capital, a key figure to watch from one annual report to another. If working capital shrinks, it could mean trouble. One possibility: the company may not be a-ble to keep dividends growing rapidly. Owners’ equity is the difference between total assets and liabilities. It is the presumed dollar value of what the owners or shareholders own. You want it to grow.
The second basic source of numbers is the income statement. It shows how much money Galaxy made or lost over the year. Most people look at one figure first. It’s in the income statement at the bottom: earnings per share. Watch out. It can fool you. Galaxy’s management could boost earnings by selling off a plant or by cutting the budget for research and advertising. The number you should look at first in the income statement is net sales. Ask yourself: Are sales going up at a faster rate than the last time around? When sales increases start to slow, the company may be in trouble. Have sales gone down because the company is selling off a losing business? If so, profits may be soaring.
Another important thing to study is the company’s debt. Turn to the balance sheet, and divide long-term liabilities by owner’s equity. That’s the debt-to-equity ratio. A high ratio means the company borrows a lot of money to spark its growth. That’s okay if sales grow too, and if there’s enough cash on hand to meet the payments. A company doing well on borrowed money can earn big profits for its shareholders. But if sales fall, watch out. The whole enterprise may slowly sink. Some companies can handle high ratios; others can’t.
Finally, you have to compare. Is the company’s debt-to-equity ratio better or worse than it used to be? Better or worse than the industry norms? In company-watching, comparisons are all. They tell you if management is staying on top of things.
According to the article, a drop in working capital shows that
选项
A、both current assets and current liabilities fall.
B、current assets decline while current liabilities rise.
C、both current assets and current liabilities remain the same as the previous year.
D、current assets increase but current liabilities decrease.
答案
B
解析
文中第四段:“The difference betweencurrent assets and current liabilities is workingcapital,a key figure to watch from one annualreport to another.If working capital shrinks,itcould mean trouble.”选项B符合题意。
转载请注明原文地址:https://kaotiyun.com/show/xAoO777K
本试题收录于:
BEC中级阅读题库BEC商务英语分类
0
BEC中级阅读
BEC商务英语
相关试题推荐
Theinterview--about3minutesInthisparttheinterlocutorasksquestionstoeachofthecandidatesinturn.Youhavetogive
Inthispartofthetest,youareaskedtogiveashorttalkonabusinesstopic.Youhavetochooseoneofthetopicsfromthe
Inthispartofthetestyouareaskedtogiveashorttalkonabusinesstopic.Youhavetochooseoneofthetopicsfromthet
Inthispartofthetest,youareaskedtogiveashorttalkonabusinesstopic.Youhavetochooseoneofthetopicsfromthe
Inthispartofthetest,youareaskedtogiveashorttalkonabusinesstopic.Youhavetochooseoneofthetopicsfromthe
Inthispart,theinterlocutorasksquestionstoeachofthecandidatesinturn.Youhavetogiveinformationaboutyourselfand
—Lookattheformbelow.—Youwillhearawomanphoningacollegeaboutacourse.Stangrave&Hoxt
Consumersareconcernedaboutthechangesinthepackagesize,mainlybecause______.Apackagingexpertsaidthathecanmulti
Lookatthenotesbelow.Youwillhearatelephonetalkingaboutclaims.TelephoneMessageCaller’sname
Lookatthenotesbelow.Youwillhearatelephonetalkingaboutclaims.TelephoneMessageCaller’sname
随机试题
设有如下实体:读者:读者编号,姓名,身份证号单位:单位号,单位名称图书:图书号,图书名,定价出版社:出版社名,电话,邮政编码,地址其中,每个读者可以借阅多本图书,每本图书可以由多名读者借阅,读者借阅图书要记录借阅日期及还书日期
A、typicalB、cycleC、applyD、implyAA项的划线部分发[i],而B、C、D三项划线部分的发音为[ai],因此选A项。
Forsometimescientistshavebelievedthatcholesterolplaysamajorroleinheartdiseasebecausepeoplewithfamilialhyperch
某金店(中国人民银行批准的金银首饰经营单位)为增值税一般纳税人,2022年3月采取“以旧换新”方式向消费者销售金项链20条,每条新项链的零售价格为2550元,每条旧项链作价800元,每条项链取得差价款1750元:当月取得首饰修理费价税合计金额2270元。该
下列诗句写的是合肥的景点的有()。
负责维护交通设施、交通秩序,进行交通管理、处理交通事故的警察称为交通警察。()
Theauthorwouldbemostlikelytoagreewithwhichofthefollowingconclusions?Itcanbeinferredfromthetextthatwhatis
Doyourememberallthoseyearswhenscientistsarguedthatsmokingwouldkillusbutthedoubtersinsistedthatwedidn’tknow
请在【答题】菜单下选择【进入考生文件夹】命令,并按照题目要求完成下面的操作。注意:以下的文件必须都保存在考生文件夹下。在考生文件夹下打开文档“Word.docx”,按照要求完成下列操作并以该文件名“Word.docx”保存文档。将文
Theinvestigation,______willsoonbepublished,wasmadebyProfessorSmith.
最新回复
(
0
)