Match Each Definition with the Correct Term Below

question 45

Multiple Choice

Match each definition with the correct term below.
-Operating cycle

• A)The time that it takes to purchase inventory,sell it,and collect cash for it.
• B)The relationship of the more liquid current assets (cash,marketable securities or short-term investments,and receivables)to current liabilities.
• C)A technique for analyzing financial statements that uses percentages to show the relationship of the different parts to the total in a single statement.
• D)The substance of earnings and their sustainability into future accounting periods.
• E)All the techniques used to show important relationships in financial statements and to relate them to important financial objectives.
• F)A technique for analyzing financial statements that involves the computation of dollar amount changes and percentage changes from the previous to the current year.
• G)Large companies that have multiple segments and operate in more than one industry.
• H)Segments that are no longer a part of a company's operations.
• I)A technique for analyzing financial statements in which meaningful relationships between components of the financial statements are shown.
• J)The measure of investors' confidence in a company.

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Definitions:

Haier

A global Chinese consumer electronics and home appliances company known for its innovation and quality products.

Maturity Stage

The maturity stage is a phase in the product life cycle characterized by a slowdown in sales growth because the product has achieved acceptance by most potential buyers, leading to increased competition.

Long Production Runs

Extended periods of continuously producing the same product, which often leads to economies of scale and reduced costs per unit.