Match Each Term with the Appropriate Definition

question 125

Multiple Choice

Match each term with the appropriate definition.Not all definitions will be used.
-Ratio Analysis

• A)Also known as time-series analysis.
• B)The ability of a company to meet its short-run financial obligations.
• C)The standard that companies should present all relevant information needed to interpret a company's financial position and performance.
• D)A measure of current earnings performance.
• E)Measures that relate financial variables reported in one or more of the financial statements from the same year.
• F)A type of analysis that focuses on relationships within a single financial statement.
• G)A result from comparing a company's results to other companies in the industry.
• H)The standard that revenue should be recorded when earned,provided payment is reasonably expected.
• I)A measure of long-run survivability.
• J)The standard that expenses should be recognized when incurred.
• K)The characteristic that financial information needs to be valuable to decision makers.
• L)The standard that takes for granted a company's near term financial survival.

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Definitions:

Supply

The total amount of a good or service that is available for purchase at various prices in a given market.

Economy

A system of production, distribution, and consumption of goods and services in a particular geographic region.

Demand

Demand is an economic principle referring to a consumer's desire and willingness to pay a price for a specific good or service.

Supply

The total amount of a specific good or service that is available to consumers, often influenced by the price as well as other factors.