Below Are Eight Ratios ________ (A

question 109

Essay

Below are eight ratios. Match each equation to the correct ratio. If there is no match, use "None" as your response.
$$\begin{array} { | l | l | } \hline \text { Current ratio } & \text { Working capital } \\\hline \text { A/R turnover rate } & \text { Debt ratio } \\\hline \text { Earnings per share } & \text { Return on assets } \\\hline \text { Return on equity } & \text { Price-earnings ratio } \\\hline\end{array}$$
________ (a.) Net income - preferred dividends divided by average number of common shares outstanding.
________ (b.) Net sales divided by average accounts receivable.
________ (c.) Operating income divided by average total assets.
________ (d.) Current assets divided by current liabilities.
________ (e.) Annual dividend divided by current stock price.
________ (f). Current assets minus current liabilities.
________ (g.) Total liabilities divided by total assets.
________ (h.) Net income divided by average total equity.
________ (i.) Common stockholder's equity divided by shares of common stock outstanding.
________ (j ) Current stock price divided by earnings per share.

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Definitions:

Competitive Equilibrium

A market state where supply meets demand, leading to an optimized distribution of goods and services among competing actors.

Excess Demand

A situation in which the quantity demanded of a good exceeds the quantity supplied at a given price, often leading to upward pressure on prices.

Competitive Pure Exchange Economy

An economic model where agents trade existing goods without the production of new goods, guided purely by their own self-interest to find an equilibrium.

Contract Curve

In economics, a curve that shows the efficient allocations of goods or services that benefit two parties in an exchange, assuming no externalities.