Select the Term from the List Provided That Bests Matches

Select the term from the list provided that bests matches each of the following descriptions or definitions: $\begin{array}{|l|l|l|}\hline \text { Your Answer } & \text { Definition or Description } &\text { Term } \\\hline& \text { A. An indication of the relative importance of an item of financial information } &\text { 1. Absolute amounts } \\\hline& \text { B. Analysis techisque that conmares amotuts of the same item over two or more time periods } &\text { 2. Book value per share } \\\hline& \text { C. Meastres of the lomg-tern debt payang ability of the firm } &\text { 3. Current ratio } \\\hline& \text { D. Measure of profitability calculated by dividurg net income by average total stockholders' equity } &\text { 4. Horizontal analysis } \\\hline& \text { E. Dollar amounts of individual items on financial statements can be misleading becanse they make no reference to the size of the company } &\text { 5. Liquidity ratios } \\\hline& \text { F. Measurements of a firms ability to generateincome } &\text { 6. Materiality } \\\hline& \text { G. Stukly of the performance of ratios or other financial measures over time } &\text { 7. Average days to sell inventory } \\\hline& \text { H. Cuntent assets divided by current labilities } &\text { 8. Price-eamings ratio } \\\hline& \text {I. Measures of short-tem debt paying ability } &\text { 9. Profitability ratios } \\\hline& \text {J. Meastue to compare vahes of different stocks. calculated by dividang market price per share by amount of income per share } &\text { 10. Return on equity } \\\hline& \text { K. Another way at looking at inwertory tumover by conwerting the izwentory tumnover ratio into a munber of days } &\text {11. Solvency ratios } \\\hline& \text { L. Calculated by dividing total stockholders' equity less preferred rights by the number of common shares outstanding } &\text { 12. Trend analysis } \\\hline\end{array}$

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