Current ratio is an example of --------------------
A) Leverage ratio
B) Liquidity ratio
C) Activity ratio
D) Turnover ratio
Correct Answer:
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Q9: Stock and prepaid expanses are not included
Q10: In a sound business, acid test ratio
Q11: Cost of good sold+operating expanses=-------------------------
A)Total cost
B)Cost of
Q12: Example of activity ratios ------------------------
A)Gross profit ratio
B)Net
Q13: Example of leverage ratio
A)Debtors velocity
B)Stock turnover ratio
C)Current
Q15: Stock turn over ratio is an example
Q16: Ratio analysis is a study of relationship
Q17: Liquidity ratios measure the --------- solvency of
Q18: By computing current ratio ---------------- solvency of
Q19: ---------------- ratio studies the firm's ability to
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