Matching
Match the term and the definition.Not all definitions will be used.
Premises:
Unit-of-measure assumption
Time-series analysis
Consistency
Extraordinary items
Discontinued operations
Separate entity assumption
Separate entity assumption
P/E ratio
Gain
Relevance
Comprehensive income
Responses:
Also known as ratio analysis.
A nonrecurring item on the income statement that reflects gains and losses associated with highly unusual events such as natural disasters.
The earnings of a company before taxes.
A nonrecurring item on the income statement that reflects gains and losses associated with abandoning or selling an operation.
The assumption that a business will separate financial results according to the type of activity that generated them.
The practice of reporting information in percent terms rather than monetary ones.
Net income adjusted for gains and losses that may disappear before they are realized.
An increase in an asset or a decrease in a liability that results from peripheral activities.
The ratio of a product's price to the net profit margin.
The concept that a company's financial data should be able to be compared with other companies' data.
The characteristic that the reported financial information is of value in making decisions.
The practice of reporting accounting data in the national monetary unit.
The concept that the activities of the business are separate from the activities of the owners of the business.
The concept that a company's financial data in any one year should be able to be compared with the company's same financial data in other years.
Another name for a trend analysis.
The ratio of the price of a share to the earnings per share.
A nonrecurring item associated with abandoning or selling an operation that does not appear in any financial statement but is covered in the notes.
Correct Answer:
Premises:
Responses:
Also known as ratio analysis.
A nonrecurring item on the income statement that reflects gains and losses associated with highly unusual events such as natural disasters.
The earnings of a company before taxes.
A nonrecurring item on the income statement that reflects gains and losses associated with abandoning or selling an operation.
The assumption that a business will separate financial results according to the type of activity that generated them.
The practice of reporting information in percent terms rather than monetary ones.
Net income adjusted for gains and losses that may disappear before they are realized.
An increase in an asset or a decrease in a liability that results from peripheral activities.
The ratio of a product's price to the net profit margin.
The concept that a company's financial data should be able to be compared with other companies' data.
The characteristic that the reported financial information is of value in making decisions.
The practice of reporting accounting data in the national monetary unit.
The concept that the activities of the business are separate from the activities of the owners of the business.
The concept that a company's financial data in any one year should be able to be compared with the company's same financial data in other years.
Another name for a trend analysis.
The ratio of the price of a share to the earnings per share.
A nonrecurring item associated with abandoning or selling an operation that does not appear in any financial statement but is covered in the notes.
Premises:
Also known as ratio analysis.
A nonrecurring item on the income statement that reflects gains and losses associated with highly unusual events such as natural disasters.
The earnings of a company before taxes.
A nonrecurring item on the income statement that reflects gains and losses associated with abandoning or selling an operation.
The assumption that a business will separate financial results according to the type of activity that generated them.
The practice of reporting information in percent terms rather than monetary ones.
Net income adjusted for gains and losses that may disappear before they are realized.
An increase in an asset or a decrease in a liability that results from peripheral activities.
The ratio of a product's price to the net profit margin.
The concept that a company's financial data should be able to be compared with other companies' data.
The characteristic that the reported financial information is of value in making decisions.
The practice of reporting accounting data in the national monetary unit.
The concept that the activities of the business are separate from the activities of the owners of the business.
The concept that a company's financial data in any one year should be able to be compared with the company's same financial data in other years.
Another name for a trend analysis.
The ratio of the price of a share to the earnings per share.
A nonrecurring item associated with abandoning or selling an operation that does not appear in any financial statement but is covered in the notes.
Responses:
Related Questions
Q109: Q110: Q111: Let's assume for the year ended February Q112: The analysis of a firm's profitability includes Unlock this Answer For Free Now! View this answer and more for free by performing one of the following actions Scan the QR code to install the App and get 2 free unlocks Unlock quizzes for free by uploading documents
