Multiple Choice
Which of the following is NOT a reason why financial analysts use ratio analysis?
A) Ratios help to pinpoint a firm's strengths.
B) Ratios restate accounting data in relative terms.
C) Ratios are ideal for smoothing out the differences that may exist when comparing firms that use different accounting practices.
D) Some of a firm's weaknesses can be identified through the usage of ratios.
Correct Answer:
Verified
Correct Answer:
Verified
Q46: There is no such thing as a
Q47: Millers Metalworks, Inc. has a total asset
Q48: Based on the information in Table 1,
Q49: Sputter Motors has sales of $3,450,000, total
Q50: What is the purpose of using common
Q52: Companies chosen for benchmarks should be of
Q53: Hi Sky Enterprises has total assets of
Q54: McKinny Enterprises must raise $580,000 to pay
Q55: Marshall Networks, Inc. has a total asset
Q56: A small start-up company should choose an