Define  1. Liquidity. 2. Give 2 factor that contribute to liquidity

Q: how do I calculate the quick ratio in a balance sheet?

A: Quick ratio is a liquidity ratio which is used to analyse the ability of a company to pay their…

Q: How is ARR calculated?

A: ARR: Accounting Rate of Return (ARR) is the rate of return earned on the investment made in a…

Q: What are the advantages of balance sheet?

A: Financial Statement:   A financial statement is the complete record of financial transactions that…

Q: what is the contrast the basic financial statements

A: Financial statements are written records that convey the business activities and therefore the…

Q: Vertical analysis is also known as a. Inter-firm Analysis b. Time-series Analysis c. Structural…

A: Financial statement analysis can be defined as the process of analyzing the financial statements…

Q: Debt-equity ratio is a sub-part of Select one: a. Liquidity ratio b. Solvency ratio c. Profitability…

A: EXPLNANTION:- The debt-equity ratio is an indicator of the lenders' and stockholders' or owners'…

Q: Liquid ratio formula?

A: Ratio analysis is referred as the quantitative method of understanding company’s liquidity,…

Q: Explain the importance of perspective analysis to financial statement analysis?

A: The process of evaluating a company's performance or value using its balance sheet, income…

Q: 2. The basic tools in financial statement analysis include a. Horizontal analysis b. Vertical…

A: Income statement: The income statement is one of the three primary financial statements used to…

Q: lain the relationship between return on equity (ROE), return on asset (ROA), and leverage effect.…

A: Return on equity and return on assets shows how much is the profit earned by the company and are…

Q: Explain the importance and limitations of current ratio in measuring company’s liquidity

A: Current ratio is used to determine the relationship between current assets and current liabilities.…

Q: Explain the importance of financial ratio.

A: Financial ratio is referred to as the relative magnitude of the 2 chosen numerical values, which…

Q: What is liquidity premium (LP)?

A: Answer: Interest rate theory on liquidity premium is a significant concept in bond investment. It…

Q: Directions : research on the following financial analysis tool and give examples : 1. Horizontal…

A: After the preparation of final accounts, the corporation analyses its financial statements. The…

Q: What are the advantages of matching the maturities of assets and liabilities? What are the…

A: Matching the maturities of assets and liabilities refers to matching the similar category of assets…

Q: The Financial position graph is suitable for Select one: O a. Data Input O b. Data Process O c.…

A: Financial Position depicts the position and status of recorded assets, liabilities, and equity of…

Q: What do the Liquidity ratios show?

A: Ratio analysis: The analysis of a company using the financial ratios and comparing its trends and…

Q: In economics the circular flow model illisytates what

A: The circular flow model in economics is a simplified representation of how the economy functions. It…

Q: Credit Analysis is about ..... i.Liquidity and solvency ii.Profitability iii.Risk Select one: a.…

A: Credit Analysis: Credit analysis measures a company's or entity's capacity to pay its commitments by…

Q: Define liquidity ratios.

A: Liquidity Ratios: The term Liquidity refers to the ability of the company to meet its current…

Q: How does measure liquidity?

A: The transactions of the company will be analyzed by the management, and it will be recorded in…

Q: Explain assumptions related to monetary unit?

A: As per the money measurement assumptions, only quantifiable transactions are recorded in the books…

Q: A tax credit of $100 for a person in a 28 percent tax bracket would reduce a person's taxes by…

A: Solution Note : Dear student as per the Q&A guideline we are required to answer the first…

Q: liquidity ratio

A: INTRODUCTION   It is a ratio which the capability of a company to pay off its debts as and when they…

Q: All of the following are the tools for Financial Analysis except: 1.Trend Analysis 2.Funds Flow…

A: Trend analysis is a financial analysis method that aids in projecting future movement based on…

Q: Based on the Liquidity ratio, which ratio determine stability, earning power and capital? Explain…

A: Liquidity ratio is the ratio that helps an enterprise know its ability to pay the current debts with…

Q: DEFINE Balance Principle

A: The principal balance, in regard to a mortgage or other debt instrument, is the amount due and owing…

Q: Identify two ratios to use to analyze a firm’s liquidity position, andwrite out their equations.

A: Ratio analysis are generally used for various purposes which can include liquidity, solvency,…

Q: what are the purpose of contrast basic financial statement?

A: Financial statements are the statements prepared to record all financial transactions to know the…

Q: C. Liqu

A: Answer: The statement of financial position is useful for analyzing all of the following except…

Q: Liquidity. The net profit / sales percentage measures which of the following? O Return on…

A: Ratio analysis: The analysis of a company using the financial ratios and comparing its trends and…