Question 1) Explain how combined leverage brings together operating income and earnings per share.
Question 2) Explain haw rapidly expanding sales can drain the cash resources of a firm?
Question 3) What is the significance to working capital management of matching sales and production?
Question 4) Why does float exist and what effect would electronic funds transfer systems have on float?
Question 5) Borrower is often confronted with a stated interest rate and an effective interest rate. What is the differnce, and which one should the financial manager recognize as the true cost of borrowing?.
Question 6) Briefly discuss the types of lender control used in inventory financing.