Question Details

A supplier to a company would be most interested in 



1. Trading on the equity (leverage) refers to the
a. amount of working capital.
b. amount of capital provided by owners.
c. use of borrowed money to increase the return to owners.
d. number of times interest is earned.
2. The current assets of Key Company are $150,000. The current liabilities are $100,000.
The current ratio expressed as a proportion is
a. 150%.
b. 1.5:1
c. .67:1
d. $150,000 ÷ $100,000.
3. The acid-test ratio is also referred to as the
a. short run ratio.
b. quick ratio.
c. working capital ratio.
d. contemporary ratio.
4. A weakness of the current ratio is
a. the difficulty of the calculation.
b. that it doesn't take into account the composition of the current assets.
c. that it is rarely used by sophisticated analysts.
d. that it can be expressed as a percentage, as a rate, or as a proportion.
5. A supplier to a company would be most interested in the
a. asset turnover ratio.
b. profit margin ratio.
c. current ratio.
d. earnings per share.



Business Management Assignment Help, Business Management Homework help, Business Management Study Help, Business Management Course Help