Which One of the Following Sets of Ratios Applies Most

question 40

Multiple Choice

Which one of the following sets of ratios applies most directly to shareholders?

• A)return on assets and profit margin
• B)quick ratio and times interest earned
• C)price-earnings ratio and debt-equity ratio
• D)market-to-book ratio and price-earnings ratio
• E)cash coverage ratio and times equity multiplier

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Definitions:

Collective Goals

Objectives or outcomes that are shared by members of a group, driving cooperation and collective action towards achieving these common ends.

Group Level

Refers to the analysis or interaction occurring at the scale of a group rather than at the individual level, focusing on collective behaviors and dynamics.

Fortune 500

An annual list compiled and published by Fortune magazine that ranks 500 of the largest United States corporations by total revenue for their respective fiscal years.

Nonprofit Organizations

Entities that operate with the primary goal of serving the public interest or common good, without the intention of making a profit for owners or stakeholders.