Examlex
Which of the following terms is incorrectly matched with the word from which it was derived?
Receivable Turnover
A financial ratio that measures how efficiently a company collects its outstanding credit sales, typically calculated annually.
Inventory Turnover
A ratio showing how many times a company's inventory is sold and replaced over a period, indicating efficiency in managing and selling stock.
Acid-test Ratio
A stringent test that measures the liquidity of a company by comparing its most liquid assets (excluding inventory) against its short-term liabilities.
Receivable Turnover
A financial ratio that measures how efficiently a company collects on outstanding accounts receivable during a particular period.
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