Match Each of the Following Terms with the Appropriate Formulas $\frac{\text {Net income }}{\text {Net sales }}$

question 161

Multiple Choice

Match each of the following terms with the appropriate formulas.
- $\frac{\text {Net income }}{\text {Net sales }}$

• A)Days' sales in inventory
• B)Dividend yield
• C)Total asset turnover
• D)Inventory turnover
• E)Return on common stockholders' equity
• F)Gross margin ratio
• G)Days' sales uncollected
• H)Profit margin ratio
• I)Times interest earned
• J)Debt ratio

Perform residual analysis to check the adequacy of a regression model.

Identify and interpret standardized residuals in the context of regression analysis.

Understand the concept of outliers in regression analysis and how to identify them.

Understand the basic values and ethics of healthcare providers as reflected in their character and actions.

---

Definitions:

High-Low Method

A technique used in cost accounting to estimate variable and fixed costs based on the highest and lowest levels of activity.

Variable Cost Element

A cost that varies directly with the level of production or sales volume, such as materials and direct labor.

Fixed Cost Element

The portion of total costs that does not change with the variation in activity level or production volume.

CVP Analysis

Cost-Volume-Profit Analysis, a tool used to determine how changes in costs and volume affect a company's operating income and net income.