Ratio Analysis Is Used to Determine All of the Following

question 8

Multiple Choice

Ratio analysis is used to determine all of the following except

• A) what a firm is worth.
• B) how much a firm made or lost.
• C) how a firm compares to others in the industry.
• D) how a firm compares to its stated goals.
• E) how a company's cash flows changed from the beginning to the end of an accounting period.

---

Definitions:

Appetite

The natural desire to satisfy a bodily need, especially for food.

Cholesterol

A waxy, fat-like substance that's found in all cells of the body, important for the synthesis of vitamin D, steroid hormones, and bile acids.

Hypovolemic Thirst

Thirst resulting from low bodily fluid volume, typically due to blood loss, sweating, or dehydration.

Osmotic Thirst

Osmotic thirst is a sensation of thirst aroused by a high concentration of solutes in the body's fluids, leading to a drive to consume water to dilute these solutes.