Matching Questions 1.Match the correct ratio name from the list below labeled a through g with each formula appearing in items 1 through 5. Ratios a.Price/earnings ratio b.Quick...





Matching Questions



1.Match the correct ratio name from the list below labeled
a
through
g
with each formula appearing in items 1 through 5.

































Ratios




a.Price/earnings ratio




b.Quick ratio




c.Earnings per share




d.Current ratio




e.Return on assets




f.Return on equity




g.Inventory turnover






____1.(Cash + accounts receivable + marketable securities) / current liabilities



____2.(Net income + interest expense) / average total assets



____3.Current assets / current liabilities



____4.Net income / average number of shares of common stock



____5.Market price per share / earnings per share





1.b2.e3.d4.c5.a



2.Match the correct ratio name from the list below labeled
a
through
f
with the ratio formulas appearing in items 1 through 4.






























Ratios




a.Debt/equity ratio




b.Financial leverage




c.Return on sales




d.Price/earnings ratio




e.Return on equity




f.Dividend yield ratio






____1.Market price per share / earnings per share



____2.Dividends per share / market price per share



____3.Average total liabilities / average total shareholders' equity



____4.Net income / average shareholders’ equity











May 15, 2022
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