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

question 72

Multiple Choice

Match each ratio that follows to its use (items a-h) . Items may be used more than once.
-working capital

• A)assess the profitability of the assets
• B)assess how effectively assets are used
• C)indicate the ability to pay current liabilities
• D)indicate how much of the company is financed by debt and equity
• 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:

CA

A term often used to abbreviate cancer or carcinoma, indicating a variety of diseases characterized by the uncontrolled division of abnormal cells.

Meaning

The significance or understanding conveyed by a word, phrase, sentence, or text.

Lymphangiosarcoma

A rare and aggressive form of cancer that develops from the lymphatic system, often associated with chronic lymphedema.

Combining Form

A linguistic element used in the construction of medical and scientific terminology that generally consists of a root and a vowel to ease pronunciation when combined with another form.