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Review Exam I. Chapters 1 and 2 Management Chapter 3 Record Keeping Cash vs. Accrual Accounting Chapter 4 - Depreciation Straight line SOYD Declining balance. Review Exam I. Chapters 5 – Balance Sheet Assets – Liabilities = Net Worth Liquidity Current ratio Working capital Solvency

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review exam i
Review Exam I
  • Chapters 1 and 2
    • Management
  • Chapter 3
    • Record Keeping
    • Cash vs. Accrual Accounting
  • Chapter 4 - Depreciation
    • Straight line
    • SOYD
    • Declining balance

AGEC 407

review exam i1
Review Exam I
  • Chapters 5 – Balance Sheet
    • Assets – Liabilities = Net Worth
    • Liquidity
      • Current ratio
      • Working capital
    • Solvency
      • Debt/Asset
      • Debt/Equity
      • Equity/Asset

AGEC 407

review exam i2
Review Exam I
  • Chapters 6 – Income Statement
    • Structure
    • ROA
    • ROE
    • OPMR
  • Chapter 13 - Cash Flow
    • Structure
    • Uses

AGEC 407

review exam i3
Review Exam I
  • Chapters 7 – Choosing Production Levels
    • Marginalism
    • Production Function: TPP, APP, MPP
    • Law of diminishing marginal returns
    • MVP = MIC
    • MR = MC
    • Equal Marginal Principle

AGEC 407

review exam i4
Review Exam I
  • Chapters 8 – Choosing Input and Output Levels
    • Substitution Ratio is a technological relationship
    • Input
      • Substitution ratio >= Price ratio
    • Output
      • Profit ratio >= Substitution ratio

AGEC 407

review exam i5
Review Exam I
  • Chapters 9 – Cost Concepts
    • Opportunity Cost
    • Short run vs. Long run
    • Fixed Costs, Variable Costs, Total Costs
    • AFC, AVC, ATC
    • Marginal Cost
    • Economies of Size

AGEC 407