Given Below Are Several Ratios

question 190

Multiple Choice

Given below are several ratios. Select the accounts or amounts that would be used in order to calculate the ratio. You will have more than one response to each ratio. Some accounts or amounts may not be used at all. Select all that apply.
-Return on sales ratio

• A) Market price per share
• B) Net sales
• C) Gross profit
• D) Average total assets
• E) Interest expense, net of tax
• F) Net income
• G) Total liabilities
• H) Total assets

---

Definitions:

Partialed Out

A statistical process of removing the effect of one or more variables to better understand the relationship between other variables.

Correlation Drops

Occurs when the strength or consistency of the relationship between two variables decreases, signifying a change in how closely they are related.

Original Correlation

The initial statistical relationship observed between two variables before any manipulation or control is applied.

Multiple Correlation

A statistical measure representing the relationship between one dependent variable and two or more independent variables.