Match Each Ratio That Follows to Its Use Items A-H

question 152

Multiple Choice

Match each ratio that follows to its use items a-h.Items may be used more than once.
-rate earned on total assets

• A)assess the profitability of the assets
• B)assess the effectiveness in the use of assets
• C)indicate the ability to meet currently maturing obligations
• D)indicate the margin of safety to creditors
• E)indicate instant debt-paying ability
• F)assess the profitability of the investment by common stockholders
• G)indicate future earnings prospects
• H)indicate the extent to which earnings are being distributed to common stockholders

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Definitions:

Fire Extinguisher

A safety device used to extinguish or control small fires in emergency situations.

Long-Term Care Facility

An institution that provides medical, personal, and sometimes daily living support to individuals with serious or persistent health issues or ageing-related needs.

Type A

A personality type characterized by competitiveness, urgency, aggression, and a higher stress level, often linked to a higher risk of heart disease.

Electric Wheelchair

A wheelchair that is powered by electricity, designed to provide mobility for individuals who are unable to walk or have limited walking ability.