Match the Classifications of Ratios with Each Description

question 64

Multiple Choice

Match the classifications of ratios with each description.
-Allows evaluation of the extent to which funds are used efficiently

• A)Liquidity Ratio
• B)Leverage Ratio
• C)Profitability Ratio
• D)Horizontal Analysis
• E)Trend Analysis

---

Definitions:

Annuity

A fiscal instrument providing a constant flow of payments to a person, mainly serving as a source of income for individuals in retirement.

Periods

Intervals of time into which financial or operational activities are divided for reporting, planning, or analysis purposes.

Future Value

The value of an investment or sum of money at a specified date in the future, taking into account interest or capital gains.

Ordinary Annuity

A series of equal payments made at fixed intervals over a specified period.