Reference no: EM132656007
Problem 1: What is the best measure of a company's liquidity?
Group of answer choices
Option 1: the times-interest-earned
Option 2: the asset turnover ratio
Option 3: the debt-to-total assets ratio
Option 4: none of these
Option 5: the quick ratio
Problem 2: What measures the productivity level of a business?
Group of answer choices
Option 1: current ratio
Option 2: profit margin on revenue
Option 3: none of these
Option 4: average collection period
Option 5: total assets turnover
Problem 3: Who will be a user of financial statements, and what will they be used for?
Group of answer choices
Option 1: Managers will use financial statements to make decisions about their company.
Option 2: All of these
Option 3: Lenders will use financial statements to decide whether to lend to a company.
Option 4: Investors will use financial statements to decide whether to invest money into a company.
Option 5: None of these