Podcast
Questions and Answers
What is the main purpose of the Cash Flow Statement?
What is the main purpose of the Cash Flow Statement?
- To calculate a company's financial ratios
- To report the changes in a company's cash and cash equivalents (correct)
- To analyze a company's liquidity position
- To evaluate a company's profitability
What is the result of the Cash Flow from Financing activities?
What is the result of the Cash Flow from Financing activities?
- Depreciation and amortization
- Net income after tax
- Cash received from issue of shares or debt and borrowing minus cash paid for dividend, repaying short and long-term borrowing and reacquisition of debt or capital (correct)
- Cash flow from operating activities
What is the purpose of adjusting for non-operating gains and losses in the Cash Flow Statement?
What is the purpose of adjusting for non-operating gains and losses in the Cash Flow Statement?
- To exclude non-cash items from the cash flow statement (correct)
- To recognize gains and losses from non-operating activities
- To increase the company's net income
- To reduce the company's income tax liability
What is the classification of the Cash Flow Statement that includes dividends paid and repayment of debt?
What is the classification of the Cash Flow Statement that includes dividends paid and repayment of debt?
What is the purpose of the Cash Flow Statement in financial analysis?
What is the purpose of the Cash Flow Statement in financial analysis?
What does the statement of cash flows help the financial manager/bankers to assess?
What does the statement of cash flows help the financial manager/bankers to assess?
What is the main purpose of segregating cash inflows and outflows into three broad categories?
What is the main purpose of segregating cash inflows and outflows into three broad categories?
Which of the following is NOT a category of activities in the statement of cash flows?
Which of the following is NOT a category of activities in the statement of cash flows?
What does the statement of cash flows explain?
What does the statement of cash flows explain?
What is the primary revenue-producing activity listed in the statement of cash flows?
What is the primary revenue-producing activity listed in the statement of cash flows?
What is the purpose of the Cash Flow from Investing Activities section in the Cash Flow Statement?
What is the purpose of the Cash Flow from Investing Activities section in the Cash Flow Statement?
What is the result of combining the Net Cash Flow from Operating, Investing, and Financing Activities?
What is the result of combining the Net Cash Flow from Operating, Investing, and Financing Activities?
What type of financing is represented by an increase in Long-term Loans/Bonds Payable?
What type of financing is represented by an increase in Long-term Loans/Bonds Payable?
What is the purpose of the Cash Flow from Financing Activities section in the Cash Flow Statement?
What is the purpose of the Cash Flow from Financing Activities section in the Cash Flow Statement?
What is the relationship between the Opening Cash & Bank Balance and the Cash Balance on hand at the end of the year?
What is the relationship between the Opening Cash & Bank Balance and the Cash Balance on hand at the end of the year?
What is the implication of a positive net financing cash flow if it is the result of excessive borrowing?
What is the implication of a positive net financing cash flow if it is the result of excessive borrowing?
What is the primary concern of a credit analyst when analyzing a firm's cash flow profile?
What is the primary concern of a credit analyst when analyzing a firm's cash flow profile?
What does a negative net financing cash flow indicate?
What does a negative net financing cash flow indicate?
What is the primary consideration when evaluating a firm's capital expenditure in line with its business strategy?
What is the primary consideration when evaluating a firm's capital expenditure in line with its business strategy?
What is the significance of a positive net financing cash flow if it is the result of an increase in equity capital?
What is the significance of a positive net financing cash flow if it is the result of an increase in equity capital?
What is the result of Cash Flow from Operations?
What is the result of Cash Flow from Operations?
What is the purpose of the investing activity in the Cash Flow Statement?
What is the purpose of the investing activity in the Cash Flow Statement?
What is an example of a cash outflow from financing activity?
What is an example of a cash outflow from financing activity?
What is an example of a cash inflow from operating activity?
What is an example of a cash inflow from operating activity?
What is an example of a cash outflow from operating activity?
What is an example of a cash outflow from operating activity?
What is the total value of Assets of Sohana Ltd. as at December 31, 2019?
What is the total value of Assets of Sohana Ltd. as at December 31, 2019?
What is the value of Plant Assets sold during the year ended December 31, 2019?
What is the value of Plant Assets sold during the year ended December 31, 2019?
What is the value of Bonds redeemed at face value during the year ended December 31, 2019?
What is the value of Bonds redeemed at face value during the year ended December 31, 2019?
What is the value of Cash Dividends declared and paid during the year ended December 31, 2019?
What is the value of Cash Dividends declared and paid during the year ended December 31, 2019?
What is the value of Additional Equipment purchased during the year ended December 31, 2019?
What is the value of Additional Equipment purchased during the year ended December 31, 2019?
What is the value of Total Liabilities and Equity of Sohana Ltd. as at December 31, 2019?
What is the value of Total Liabilities and Equity of Sohana Ltd. as at December 31, 2019?
What is the value of Accrued Expenses of Sohana Ltd. as at December 31, 2019?
What is the value of Accrued Expenses of Sohana Ltd. as at December 31, 2019?
What is the value of Retained Earnings of Sohana Ltd. as at December 31, 2019?
What is the value of Retained Earnings of Sohana Ltd. as at December 31, 2019?
What is the value of Cost of Goods Sold of Sohana Ltd. for the year ended December 31, 2019?
What is the value of Cost of Goods Sold of Sohana Ltd. for the year ended December 31, 2019?
What is the total net cash flow from operating activities?
What is the total net cash flow from operating activities?
What does a large amount of positive net operating cash flows indicate?
What does a large amount of positive net operating cash flows indicate?
What is the main reason behind negative net operating cash flows?
What is the main reason behind negative net operating cash flows?
What is the total cash sales collection from credit sales?
What is the total cash sales collection from credit sales?
What is the ending cash balance on hand?
What is the ending cash balance on hand?
What is the primary concern of a short-term creditor when evaluating a loan?
What is the primary concern of a short-term creditor when evaluating a loan?
What is the primary emphasis of a bondholder when evaluating a company?
What is the primary emphasis of a bondholder when evaluating a company?
What is the primary objective of financial statement analysis?
What is the primary objective of financial statement analysis?
What is the primary purpose of analyzing an income statement and balance sheet?
What is the primary purpose of analyzing an income statement and balance sheet?
What is the primary focus of stockholders when assessing a company?
What is the primary focus of stockholders when assessing a company?
What is the primary objective of sensitivity analysis in project financial appraisal?
What is the primary objective of sensitivity analysis in project financial appraisal?
What is a key consideration in evaluating a project's capital structure?
What is a key consideration in evaluating a project's capital structure?
What is the primary purpose of ratio analysis in financial statement analysis?
What is the primary purpose of ratio analysis in financial statement analysis?
What is the primary purpose of cash flow statement analysis in project financial appraisal?
What is the primary purpose of cash flow statement analysis in project financial appraisal?
What type of ratio measures the company's potentiality and performance?
What type of ratio measures the company's potentiality and performance?
What is a key consideration in evaluating a project's working capital requirements?
What is a key consideration in evaluating a project's working capital requirements?
What can be evaluated through ratio analysis?
What can be evaluated through ratio analysis?
What is the primary objective of financial projection and preparation of projected financial statements in project financial appraisal?
What is the primary objective of financial projection and preparation of projected financial statements in project financial appraisal?
What is the main advantage of using ratio analysis in financial statement analysis?
What is the main advantage of using ratio analysis in financial statement analysis?
What is the relationship between two figures expressed through a ratio?
What is the relationship between two figures expressed through a ratio?
What is the primary purpose of segregating cash inflows and outflows into three broad categories in the statement of cash flows?
What is the primary purpose of segregating cash inflows and outflows into three broad categories in the statement of cash flows?
What can a company's ability to generate future net cash inflows from operations indicate to financial managers or bankers?
What can a company's ability to generate future net cash inflows from operations indicate to financial managers or bankers?
What can be inferred about a company if its net cash flow from operating activities is consistently higher than its net income?
What can be inferred about a company if its net cash flow from operating activities is consistently higher than its net income?
What can be a potential consequence of a company's reliance on external financing to meet its liquidity needs?
What can be a potential consequence of a company's reliance on external financing to meet its liquidity needs?
What can be a key benefit of analyzing a company's statement of cash flows in conjunction with its other financial statements?
What can be a key benefit of analyzing a company's statement of cash flows in conjunction with its other financial statements?
What is the classification of the current liabilities 'Short Term Bank Borrowings' in the balance sheet of Ahmed Toys (Pvt.) Limited?
What is the classification of the current liabilities 'Short Term Bank Borrowings' in the balance sheet of Ahmed Toys (Pvt.) Limited?
What is the purpose of analyzing the 'Due from Affiliates' account in the balance sheet of Ahmed Toys (Pvt.) Limited?
What is the purpose of analyzing the 'Due from Affiliates' account in the balance sheet of Ahmed Toys (Pvt.) Limited?
What is the relationship between the 'Retained Earnings' account and the 'Net Worth' of Ahmed Toys (Pvt.) Limited?
What is the relationship between the 'Retained Earnings' account and the 'Net Worth' of Ahmed Toys (Pvt.) Limited?
What is the purpose of analyzing the 'Inventory' account in the balance sheet of Ahmed Toys (Pvt.) Limited?
What is the purpose of analyzing the 'Inventory' account in the balance sheet of Ahmed Toys (Pvt.) Limited?
What is the classification of the 'Tangible Fixed Assets' account in the balance sheet of Ahmed Toys (Pvt.) Limited?
What is the classification of the 'Tangible Fixed Assets' account in the balance sheet of Ahmed Toys (Pvt.) Limited?
What may indicate that a firm has either repaid existing loans or distributed more dividends?
What may indicate that a firm has either repaid existing loans or distributed more dividends?
What is a credit analyst trying to understand when analyzing a firm's tradeoff between tax advantages from increased debt and bankruptcy cost?
What is a credit analyst trying to understand when analyzing a firm's tradeoff between tax advantages from increased debt and bankruptcy cost?
What is essential when considering a firm's capital expenditure in line with its business strategy?
What is essential when considering a firm's capital expenditure in line with its business strategy?
What does a positive net financing cash flow indicate if it is the result of an increase in equity capital?
What does a positive net financing cash flow indicate if it is the result of an increase in equity capital?
What is a primary concern for a credit analyst when analyzing a firm's cash flow profile?
What is a primary concern for a credit analyst when analyzing a firm's cash flow profile?
What does the Total Liability to Net Worth ratio measure?
What does the Total Liability to Net Worth ratio measure?
What is the primary purpose of a Cash Flow Statement?
What is the primary purpose of a Cash Flow Statement?
What type of ratio analysis is useful for evaluating a firm's liquidity?
What type of ratio analysis is useful for evaluating a firm's liquidity?
What is the name of the ratio that measures the extent to which debt financing is used relative to equity financing?
What is the name of the ratio that measures the extent to which debt financing is used relative to equity financing?
What is the primary focus of financial statement analysis?
What is the primary focus of financial statement analysis?
What is the name of the statement that reports a firm's cash receipts, cash payments, and net change in cash?
What is the name of the statement that reports a firm's cash receipts, cash payments, and net change in cash?
What is the primary purpose of ratio analysis in financial statement analysis?
What is the primary purpose of ratio analysis in financial statement analysis?
What is the name of the ratio that measures the extent to which a firm has been financed by debt?
What is the name of the ratio that measures the extent to which a firm has been financed by debt?
What is the primary purpose of segregating cash inflows and outflows into three broad categories in the Cash Flow Statement?
What is the primary purpose of segregating cash inflows and outflows into three broad categories in the Cash Flow Statement?
What is the main advantage of using ratio analysis in financial statement analysis?
What is the main advantage of using ratio analysis in financial statement analysis?
What does the Inventory in Days ratio indicate?
What does the Inventory in Days ratio indicate?
What is the rule of thumb for the Sales to Total Assets ratio?
What is the rule of thumb for the Sales to Total Assets ratio?
What does the Quick Ratio measure?
What does the Quick Ratio measure?
What is the rule of thumb for the Working Capital Components ratio?
What is the rule of thumb for the Working Capital Components ratio?
What does the Current Ratio measure?
What does the Current Ratio measure?
What is a primary concern for a short-term creditor when evaluating a borrower?
What is a primary concern for a short-term creditor when evaluating a borrower?
What is the primary purpose of financial statement analysis?
What is the primary purpose of financial statement analysis?
What does a long-term creditor consider when evaluating a firm?
What does a long-term creditor consider when evaluating a firm?
What is the primary objective of analyzing an income statement and balance sheet?
What is the primary objective of analyzing an income statement and balance sheet?
What is a key consideration for stockholders when assessing a company?
What is a key consideration for stockholders when assessing a company?
What is the main purpose of ratio analysis in financial statement analysis?
What is the main purpose of ratio analysis in financial statement analysis?
What does a ratio express in financial analysis?
What does a ratio express in financial analysis?
What is the primary focus of financial statement analysis?
What is the primary focus of financial statement analysis?
What is the purpose of segregating cash inflows and outflows into three broad categories in the cash flow statement?
What is the purpose of segregating cash inflows and outflows into three broad categories in the cash flow statement?
What can be evaluated through ratio analysis?
What can be evaluated through ratio analysis?
What is the main purpose of leverage ratios?
What is the main purpose of leverage ratios?
What type of ratio analysis is useful for evaluating a firm's liquidity?
What type of ratio analysis is useful for evaluating a firm's liquidity?
What is the primary purpose of a Cash Flow Statement?
What is the primary purpose of a Cash Flow Statement?
What does a high Total Liability to Net Worth ratio indicate?
What does a high Total Liability to Net Worth ratio indicate?
What is the implication of a negative net financing cash flow?
What is the implication of a negative net financing cash flow?
What is the name of the ratio that measures the extent to which debt financing is used relative to equity financing?
What is the name of the ratio that measures the extent to which debt financing is used relative to equity financing?
What is a credit analyst trying to understand when analyzing a firm's cash flow profile?
What is a credit analyst trying to understand when analyzing a firm's cash flow profile?
What is the primary concern of a credit analyst when analyzing a firm's cash flow profile?
What is the primary concern of a credit analyst when analyzing a firm's cash flow profile?
What does a positive net financing cash flow indicate if it is the result of an increase in equity capital?
What does a positive net financing cash flow indicate if it is the result of an increase in equity capital?
What is the primary objective of analyzing a firm's cash flow statement?
What is the primary objective of analyzing a firm's cash flow statement?
What does the Interest Coverage Ratio measure?
What does the Interest Coverage Ratio measure?
What does the Debt Service Coverage Ratio reflect?
What does the Debt Service Coverage Ratio reflect?
What is the purpose of Activity Ratios in financial statement analysis?
What is the purpose of Activity Ratios in financial statement analysis?
What does the Receivable in Days ratio indicate?
What does the Receivable in Days ratio indicate?
What is the rule of thumb for the Interest Coverage Ratio?
What is the rule of thumb for the Interest Coverage Ratio?
What is the main objective of industry analysis in a marketing plan?
What is the main objective of industry analysis in a marketing plan?
What is included in a market analysis?
What is included in a market analysis?
What is the primary consideration when analyzing the marketing aspect of a project?
What is the primary consideration when analyzing the marketing aspect of a project?
What is the primary objective of analyzing the company's internal environment?
What is the primary objective of analyzing the company's internal environment?
What is the primary purpose of Porter's Five Forces model?
What is the primary purpose of Porter's Five Forces model?
What is the primary focus of marketing analysis?
What is the primary focus of marketing analysis?
What is the primary purpose of analyzing consumer behavior?
What is the primary purpose of analyzing consumer behavior?
What is included in a marketing analysis?
What is included in a marketing analysis?
What is the primary purpose of identifying the company's external environment?
What is the primary purpose of identifying the company's external environment?
What is the primary focus of a marketing plan?
What is the primary focus of a marketing plan?
What is the primary purpose of Internal Credit Risk Rating System?
What is the primary purpose of Internal Credit Risk Rating System?
What should be used to assess the line of business if the borrower is in multiple lines of business?
What should be used to assess the line of business if the borrower is in multiple lines of business?
What is the authority to sanction/approve loans delegated to?
What is the authority to sanction/approve loans delegated to?
What should be used if the right sector or industry is not selected?
What should be used if the right sector or industry is not selected?
What is the purpose of Internal Credit Risk Rating System in credit selection?
What is the purpose of Internal Credit Risk Rating System in credit selection?
Who is responsible for identifying early alert accounts and reporting them to CRM?
Who is responsible for identifying early alert accounts and reporting them to CRM?
What is the primary responsibility of the Recovery Unit in each bank?
What is the primary responsibility of the Recovery Unit in each bank?
Who is responsible for approving the Classified Loan Review Report for NPLs up to a certain percentage of the bank's capital?
Who is responsible for approving the Classified Loan Review Report for NPLs up to a certain percentage of the bank's capital?
What is the primary focus of the account manager in the Recovery Unit?
What is the primary focus of the account manager in the Recovery Unit?
What is the significance of reviewing the strategy and adequacy of provisions for NPLs?
What is the significance of reviewing the strategy and adequacy of provisions for NPLs?
What is the primary objective of credit investigation?
What is the primary objective of credit investigation?
Why is it essential to select a good borrower?
Why is it essential to select a good borrower?
What is the primary focus of a banker when sanctioning credit?
What is the primary focus of a banker when sanctioning credit?
Why is curative measure costlier than preventive measure in credit risk management?
Why is curative measure costlier than preventive measure in credit risk management?
What is the purpose of collecting information from different parties, including the Credit Information Bureau (CIB) report?
What is the purpose of collecting information from different parties, including the Credit Information Bureau (CIB) report?
What is the primary purpose of Internal Credit Risk Rating System (ICRRs)?
What is the primary purpose of Internal Credit Risk Rating System (ICRRs)?
What is the key reference for credit risk assessment and decision making?
What is the key reference for credit risk assessment and decision making?
What is considered during the credit assessment of a borrower?
What is considered during the credit assessment of a borrower?
Why do participatory banks perform their own independent assessment and review of terms of the syndicate loan?
Why do participatory banks perform their own independent assessment and review of terms of the syndicate loan?
What is the term used to describe the credit assessment of a group of companies?
What is the term used to describe the credit assessment of a group of companies?
What is the next step after the credit proposal is approved by the approval authority?
What is the next step after the credit proposal is approved by the approval authority?
Who should take legal action against defaulted borrowers as a last resort to recovery credit?
Who should take legal action against defaulted borrowers as a last resort to recovery credit?
What is the purpose of introducing an incentive program for Recovery Unit (RU)?
What is the purpose of introducing an incentive program for Recovery Unit (RU)?
What is the role of the Board in credit risk management?
What is the role of the Board in credit risk management?
What is the function of the Credit Administration (CAD) in credit operations?
What is the function of the Credit Administration (CAD) in credit operations?
What is the main purpose of credit risk management in banks?
What is the main purpose of credit risk management in banks?
What is the significance of a well-defined credit policy in banks?
What is the significance of a well-defined credit policy in banks?
Why is credit risk management critical for banks?
Why is credit risk management critical for banks?
What is the importance of credit assessment in banks?
What is the importance of credit assessment in banks?
What percentage of total assets of commercial banks in Bangladesh constitute loans and advances?
What percentage of total assets of commercial banks in Bangladesh constitute loans and advances?
What is the primary purpose of the procedural guidelines in a bank's credit operation?
What is the primary purpose of the procedural guidelines in a bank's credit operation?
Who is responsible for sanctioning and disbursing the credit budget in a bank?
Who is responsible for sanctioning and disbursing the credit budget in a bank?
What is the primary role of Relationship Management (RM) in a bank?
What is the primary role of Relationship Management (RM) in a bank?
What is the primary purpose of the credit budget in a bank?
What is the primary purpose of the credit budget in a bank?
What is the overall sequence of activities involved in credit operations in a bank?
What is the overall sequence of activities involved in credit operations in a bank?
What is the purpose of the credit committee/CRM in a bank?
What is the purpose of the credit committee/CRM in a bank?
What is the primary focus of a bank's credit policy?
What is the primary focus of a bank's credit policy?
What is the role of Bangladesh Bank in guiding a bank's credit operations?
What is the role of Bangladesh Bank in guiding a bank's credit operations?
What is the primary consideration in a bank's credit operations?
What is the primary consideration in a bank's credit operations?
What is the purpose of a bank's procedural guidelines in credit operations?
What is the purpose of a bank's procedural guidelines in credit operations?
