CPC-SEN Practice Questions

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NEW QUESTION: 1
Successful use of financial leverage would be illustrated when:
A. Rate of return on sales exceeds the cost of debt
B. Rate of return on assets (ROA) exceeds the rate of return on stockholder's equity
C. Rate of return on assets exceeds the cost of debt
Answer: C
Explanation:
Successful use of leverage is evident when more income can be generated from the use of borrowed funds (the new assets) than it costs to actually borrow the funds.

NEW QUESTION: 2

A. Option A
B. Option C
C. Option B
D. Option D
Answer: C

NEW QUESTION: 3
What does an organization FIRST review to assure compliance with privacy requirements?
A. Business objectives
B. Employee's compliance to policies and standards
C. Best practices
D. Legal and regulatory mandates
Answer: D