When comparing a company's ratios to industry standards,entrepreneurs should ask the which of the following questions:
A)Is there a significant difference in my company's ratio and the industry average?
B)Is the difference good or bad?
C)What are the possible causes of this difference? What is the most likely cause?
D)All of the above

Question

Quizplus · Accepted Answer

Entrepreneurs should ask all three questions when comparing a company's ratios to industry standards. They need to determine if there's a significant difference (A), evaluate whether the difference is good or bad (B), and try to identify the possible causes of the difference and determine the most likely one (C).

When Comparing a Company's Ratios to Industry Standards,entrepreneurs Should Ask