Exam 12: Financial Statement Analysis

A company has $56,000 in cash;$12,000 in Accounts Receivable;$25,000 in short-term investments and $100,000 in merchandise inventory.The company also has $60,000 in current liabilities.The company's quick ratio is:

Comparative reports in which each item is expressed as a percentage of a base amount without dollar amounts are called:

Two measures that are often looked at in valuing a business are:

Inventory and prepaid expenses are NOT included in the computation of the:

A measure of how well earnings support dividend payments is:

A low price earnings ratio typically means the future of a business is very bright.

Which of the following is a profitability ratio?

Shore Stone Supply has an average days' in receivable of 41 days.Shore's Accounts Receivable turnover is closest to:

Statements that are often used to compare different size businesses are called:

Gains and losses on plant,property,and equipment are reported:

Evergreen Supply Co.sells hiking and other outdoor equipment.It also sells a few trail books and outdoor guides about the area.In their Income Statement,the revenue from the books and guides would probably be recorded as:

Which of the following is typically NOT one of the questions asked when analyzing a business' operations?

Management discussion and analysis is:

Island Coffee's cash reported on the comparative Balance Sheet was $235,000 in 2013 and $245,300 in 2014.The percentage change in cash from 2013 to 2014 was:

Which of the following is NOT a liquidity ratio?

The most recent period in a horizontal analysis is called the base period.

Which of the following is a solvency ratio?

Horizontal analysis is only done on the Income Statement.

Serenity Sounds,Inc.reported the following for 2012: What are the earnings per share for Serenity Sounds,Inc.(to the nearest cent)?

Everyday business activities are reported in the: