The Financial Ratio That Indicates the Degree to Which the Organization

question 34

Multiple Choice

The financial ratio that indicates the degree to which the organization uses debt or equity to finance its ongoing operations is the ________ ratio.

• A)leverage
• B)liquidity
• C)activity
• D)profit

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Definitions:

Speed Limits

Legal restrictions on the maximum speed at which a vehicle may travel on a road.

Two-tail Test

A statistical test that determines if there is a significant difference between the means or proportions of two populations in either direction.

Sample Variances

The measure of dispersion of data points in a sample around their sample mean, serving as an estimate of the population variance.

Test Statistic

A value calculated from sample data during a hypothesis test. Used to determine whether to reject the null hypothesis.