When Are Ratios Most Useful for Analysis

question 139

Multiple Choice

When are ratios most useful for analysis?

• A) When used alone.
• B) When compared with historical ratios of the same company.
• C) When compared with ratios for other companies in the industry.
• D) When compared with both historical ratios of the same company and ratios for other companies in the industry.

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Definitions:

Training and Development

Organizational activities aimed at enhancing the skills, knowledge, and capabilities of employees.

Performance Management

The systematic process of monitoring, assessing, and improving the performance of employees or teams to achieve organizational goals.

Labour-management Relations

The dynamics and interactions between employees or their representatives and management within an organization, often concerning negotiations, agreements, and workplace conditions.

Employee Selection

The process by which companies evaluate and choose individuals from a pool of candidates to fill job vacancies.