Selected Answer: Bookkeeping involves day-to-day recording of business transactions. Answers: Bookkeeping is a process that requires extensive training. Bookkeeping involves understanding and interpreting sophisticated accounting systems to classify financial information. Bookkeeping involves day-to-day recording of business transactions. Bookkeeping involves developing sophisticated accounting systems. Bookkeeping is a broader term than accounting. Question 20 1 out of 1 points A long-term lender, when lending money is more interested in a company's _____ and indebtedness to other lenders. Selected Answer: profitability Answers: mission statement profitability vision
statement interest rates operating revenues Question 21 0 out of 1 points Return on assets and return on equity are examples of _____. Selected Answer: asset utilization ratios Answers: current ratios asset utilization ratios debt ratios liquidity ratios profitability ratios Question 22 1 out of 1 points A company's assets that are used or converted into cash within the course of a calendar year are called: Selected Answer: current assets. Answers: fixed assets. current liabilities. equity. current assets. long-term assets. Question 23 1 out of 1 points
Maurice was asked to extend trade credit to a restaurant she hadn't serviced before. She asked to see its balance sheet to determine if it could pay its bills. She divided its current assets by current liabilities to get its: Selected Answer: current ratio. Answers: book value per share. earnings per share. receivable turnover. inventory turnover. current ratio. Question 24 1 out of 1 points The balance sheet indicates what an organization owns or controls. Selected Answer: Tru e Answers: Tru e False Question 25 1 out of 1 points _____ refer to calculations that measure an organization's financial health. Selected Answer: Ratio analysis Answers: Specific analysis General analysis Cash-flow analysis Ratio analysis
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