Matching
Match the letter for the following ratio measures to the category of performance that the ratio is used to measure.
Premises:
Times interest earned ratio
Earnings per share
Current ratio
Debt-to-assets ratio
Inventory turnover ratio
Return on equity
Receivables turnover ratio
Fixed asset turnover ratio
Responses:
L - Liquidity
P - Profitability
S - Solvency
Correct Answer:
Premises:
Responses:
Times interest earned ratio
Earnings per share
Current ratio
Debt-to-assets ratio
Inventory turnover ratio
Return on equity
Receivables turnover ratio
Fixed asset turnover ratio
Premises:
Times interest earned ratio
Earnings per share
Current ratio
Debt-to-assets ratio
Inventory turnover ratio
Return on equity
Receivables turnover ratio
Fixed asset turnover ratio
Responses:
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