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Match the Ratios with the Appropriate Ratio Computation by Entering

Question 222

Short Answer

Match the ratios with the appropriate ratio computation by entering the appropriate letter in the space provided.
A. Current ratio F. Times interest earned
B. Acid-test ratio G. Inventory turnover
C. Profit margin H. Average collection period
D. Asset turnover I. Days in inventory
E. Price-earnings ratio J. Payout ratio Match the ratios with the appropriate ratio computation by entering the appropriate letter in the space provided. A. Current ratio F. Times interest earned B. Acid-test ratio G. Inventory turnover C. Profit margin H. Average collection period D. Asset turnover I. Days in inventory E. Price-earnings ratio J. Payout ratio

Correct Answer:

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1. G 6. H
2. C 7. E
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