Business Communications Practice Quiz
11. Suppose one of your bookkeeping clients has stated they prefer to have a conversation around their financial statements, not simply receive an email. What communication channels might you use? (select all that apply)
- Phone calls
- Face-to-face meetings
- Webconference
- Text message
12. What does KPI stand for in accounting?
- Key Performance Indicator
- Key Partner Index
- Key Partner Information
13. Which of the following would be the best and most professional subject line to use when you want to ensure the client reads and responds to a request?
- Action Requested: Please Review and Provide Signature
- READ THIS RIGHT NOW
- Please sign this and return it by end of business next Wednesday, or I will not be able to move forward
- Bookkeeping Update
Analyzing Key Reports and Transactions Assessment
14. Gross Profit Margin shows the percentage of revenue that:
- Exceeds the cost of goods sold (COGS)
- How much profit a company makes on a dollar after paying for expenses and overhead
- The percentage of profit a company produces from its total revenue
15. Lou's Tavern recorded $60,000 in sales revenue and a cost of goods sold of $45,000 on their income statement this month. What is their Gross Profit Margin? (enter your answer as a decimal and round to the nearest hundredth, example x.xx)
0.25
16. Net profit margin shows the percentage of:
- Profit a company makes on a dollar after paying for expenses and overhead
- Revenue that exceeds the cost of goods sold (COGS)
- Profit a company produces from its total revenue
17. On Marla's Laundromat Income Statement there is a Sales Revenue of $60,000 and Operating Earnings of $11,000. What is their Operating Profit Margin? (enter your answer as a decimal and round to the nearest hundredth, example x.xx)
0.18
18. Tyler's Theater recorded a net profit of $8,500 in addition to their Sales Revenue of $60,000 on their recent income statement. What is their Net Profit Margin? (enter your answer as a decimal and round to the nearest hundredth, example x.xx)
0.14
Shuffle Q/A 2
20. What does the debt to equity ratio evaluate?
- What proportion of debt or equity a company is using to finance its assets
- A company’s debt as a percentage of total liabilities and owner’s equity amount
- What proportion of equity a company is using to finance its profits