Which of the Following Is an Example of a Non-Financial

question 21

Multiple Choice

Which of the following is an example of a non-financial employee performance measure?

• A) All of these items are examples of a non-financial employee performance measure.
• B) Staff educational qualifications.
• C) Workers' compensation claims.
• D) Percentage of absenteeism.

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Definitions:

Vertical Analysis

An approach to analyzing financial statements where every item within the three primary account categories (assets, liabilities, and equity) on a balance sheet is shown as a percentage of the total category.

Total Liabilities

The combined total of all current and long-term financial obligations owed by an entity at any given time.

Common-Sized Income Statement

An income statement in which each line item is expressed as a percentage of sales, facilitating the comparison across different periods or companies.

Net Income

The final profit of a company calculated by deducting all expenses and taxes from its revenue.