Which of the Following Is not a Flow Ratio

question 31

Multiple Choice

Which of the following is not a flow ratio?

• A) Interest coverage
• B) Fixed charge coverage
• C) Debt/equity
• D) Cash flow/long term debt
• E) Cash flow/total debt

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Definitions:

Real Wages

Wages adjusted for inflation, reflecting the actual purchasing power of income.

Output

The total quantity of goods and services produced by a business, industry, or economy within a specified period.

Competition

The rivalry among businesses or individuals for resources, customers, and market share.

High Wages

Refers to compensation levels that are significantly above the average for a job or industry, typically in response to skill shortages, high demand, or exceptional performance.