Which of the Following Statements About Financial Statements Is Incorrect

question 86

Multiple Choice

Which of the following statements about financial statements is incorrect?

• A) The net margin ratio is a profitability ratio.
• B) The current ratio is a liquidity ratio.
• C) The debt to assets ratio is a liquidity ratio.
• D) The dividend yield is a stock market ratio.

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Definitions:

Mental Processes

Internal cognitive operations that include thinking, perceiving, decision-making, problem-solving, and remembering.

Circadian Rhythm

An internal biological clock regulating a variety of physiological processes, including the sleep-wake cycle, over roughly a 24-hour period.

Diurnal

Periodically active during the day and inactive at night.

Ultradian

Describes biological rhythms with cycles shorter than 24 hours, such as the stages of sleep or patterns of hormone release.