Matching
Match each of the following formulas with the appropriate terms
Premises:
(Ending inventory/ cost of goods sold) x 365
Annual cash dividends per share /Market price per share
Net sales/ Average total assets
Cost of goods sold /Average inventory
(Net income - preferred dividends)/ Average common stockholders' equity
(Net sales - Cost of goods sold)/ Net sales
(Accounts receivable / Net sales) x 365
Net income /Net sales
Income before interest expense and income taxes/ Interest expense
Total liabilities /Total assets
Responses:
Total asset turnover
Days' sales in inventory
Days' sales uncollected
Debt ratio
Times interest earned
Return on common stockholders' equity
Gross margin ratio
Dividend yield
Inventory turnover
Profit margin ratio
Correct Answer:
Premises:
Responses:
(Ending inventory/ cost of goods sold) x 365
Annual cash dividends per share /Market price per share
Net sales/ Average total assets
Cost of goods sold /Average inventory
(Net income - preferred dividends)/ Average common stockholders' equity
(Net sales - Cost of goods sold)/ Net sales
(Accounts receivable / Net sales) x 365
Net income /Net sales
Income before interest expense and income taxes/ Interest expense
Total liabilities /Total assets
Premises:
(Ending inventory/ cost of goods sold) x 365
Annual cash dividends per share /Market price per share
Net sales/ Average total assets
Cost of goods sold /Average inventory
(Net income - preferred dividends)/ Average common stockholders' equity
(Net sales - Cost of goods sold)/ Net sales
(Accounts receivable / Net sales) x 365
Net income /Net sales
Income before interest expense and income taxes/ Interest expense
Total liabilities /Total assets
Responses:
Related Questions
Q10: The use of horizontal and vertical analysis
Q15: Selected current year company information follows:<br>
Q15: A good financial statement analysis report usually
Q41: A company had a profit margin of
Q53: Identify and describe three common tools of
Q73: A company has total assets of $5,600,482,common
Q86: Net sales divided by average accounts receivable
Q134: A company with a high inventory turnover
Q152: The higher the accounts receivable turnover,the slower
Q167: Dividing ending inventory by cost of goods