quiz1

Which of the following financial statements would be most useful if an analyst wants to know the profitability of a​ company?   A. balance sheet   B. statement of cash flows   C. statement of retained earnings   D. income statement

The business risk of a company is most accurately measured by the company's: a. Debt-to-equity ratio   B. Efficiency in using assets to generate sales   c. Operating leverage and level of uncertainty about demand, output prices and competition

n analyzing a company’s financial statements, which financial statement would a potential investor primarily use to assess the company’s liquidity and financial flexibility?   a. Income statement b. Statement of retained earnings c. Statement of cash flows d. Statement of financial position

Match the ratio to the building block of financial statement analysis to which it best relates.A. Liquidity and efficiency B. Solvency C. Profitability D. Market prospects Accounts receivable turnover