Engineering Economics
Pick up the correct statement regarding financial statement analysis from the following.

The balance sheet is the summary of assets, liabilities and owner's equity of business at a point in time
Final analysis always involves the use of various financial statements i.e., balance sheet and income statement
All listed here
The income statement is the summary of revenues and expenses of a firm over a particular period of time

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Engineering Economics
The key to profitable operation for project cost control, is:

To keep the project cost equal to subsequent construction budget
None of these
To keep the project cost equal to original cost estimate
To keep the project cost within the cost budget and knowing when and where job costs are deviating

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Engineering Economics
Liquidity ratios are used:

To compare short term obligations to short-term resources available to meet these obligations
To measure a firm’s ability to meet short-cut obligations
All of these
To obtain much insight into the present cash solvency of the firm and the firm

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Engineering Economics
In a cash-flow diagram:

All of these
A vertical arrow pointing up indicates a positive cash flow
Time 1 is considered to be the end of time period 1
Time 0 is considered to be the present

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