Accounting: What the Numbers Mean 9th Edition by Wayne W McManus, Daniel F Viele, David H Marshall

Exercise 24

Following are a number of the key terms and concepts introduced in the chapter, along with a list of corresponding definitions. Match the appropriate letter for the key term or concept to each definition provided (items 1–10). Note that not all key terms and concepts will be used.

a. Ratio	j. Turnover
b. Trend analysis	k. Return on equity
c. Rate of return	l. Working capital
d. Interest	m. Liquidity
e. Principal	n. Current ratio
f. Risk	o. Acid-test ratio
g. Return on investment	p. Credit risk
h. DuPont model	q. Collect on delivery
i. Margin

_________ A calculation of return on investment made by multiplying margin by turnover.