Multiple Choice
Match the terms with the definitions.
-The ability to pay current debts when they come due.
A) profitability measures
B) operating income ratio
C) cost of goods sold ratio
D) ratio of liabilities to stockholders' equity
E) return on total assets
F) ratio of net sales to assets
G) horizontal analysis
H) leverage
I) net income ratio
J) liquidity
K) liquidity measures
L) merchandise inventory turnover
Correct Answer:

Verified
Correct Answer:
Verified
Q2: The debt-to-equity ratio measures the extent of
Q3: An expression of the amount of each
Q4: Quick assets include cash, temporary investments, and
Q5: Match the terms with the definitions.<br>-The ratio
Q6: The liabilities of a company at the
Q7: When there are preferred shares outstanding, the
Q8: Match the terms with the definitions.<br>-The ratio
Q9: The gross profit ratio is computed by
Q10: Asset turnover ratio measures how effectively a
Q11: The current ratio and the quick or