The Incorrect Statement Concerning Financial Ratios Is

question 50

Multiple Choice

The incorrect statement concerning financial ratios is:

• A)A ratio expresses the relationship between two figures appearing in the financial statements.
• B)Ratios are easy to interpret but difficult to calculate.
• C)Ratios adjust for scale of operations and allow comparisons between businesses of different sizes.
• D)None of the above, i.e., all are true statements.

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Definitions:

Needy Families

Households with insufficient income or resources to maintain an adequate standard of living, often targeted by social assistance programs.

Welfare

The well-being, health, and economic security of individuals or populations, often associated with government support policies.

TANF Program

The TANF Program, or Temporary Assistance for Needy Families, is a federal assistance program in the United States designed to help needy families achieve self-sufficiency.

Welfare

A government program designed to support the well-being of its citizens, especially those in financial need.