Acid test quick ratio - Study guides, Class notes & Summaries

NAB RCAL Exam Review Solution 2024 Updated Breakeven Point? - ANS-total cost = total revenue Working capital ratio - ANS-current assets / current liabilities Acid-test (quick) ratio - ANS-(cash + AR + short-term investments) / current liabilities debt to assets ratio - ANS-total liabilities/total assets FTE (full time equivalent) - ANS-total number of hours per employee in a week / 40 (i.e. 12+14+40+30 div. by 40) Profit margin ...

Breakeven Point? - Answer - total cost = total revenue Working capital ratio - Answer - current assets / current liabilities Acid-test (quick) ratio - Answer - (cash + AR + short-term investments) / current liabilities debt to assets ratio - Answer - total liabilities/total assets FTE (full time equivalent) - Answer - total number of hours per employee in a week / 40 (i.e. 12+14+40+30 div. by 40) Profit margin - Answer - NOI/Tot. Revenue. Defined as "income to sales. 2 types, gro...

Which of the following items are not included when determining income from operations? - Taxes Which ratio would you use to determine the profitability of the goods sold by a company? - Gross profit margin When performing a vertical analysis which income statement item do you use to determine the cost contribution for each expense category? (What is the denominator?) - Sales Horizontal analysis allows us to analyze performance over: - Time When calculating the quick ratio or "acid test"...

Invested Capital correct answers Average Equity + Average Net Debt Return on Assets (ROA) correct answers Net Income / Average Assets Return on Equity (ROE) correct answers Net Income / Average Stockholders' Equity Return on Invested Capital (ROIC) correct answers Adj. EBIT / Invested Capital Or EBIAT / Invested Capital Return on Capital (ROC) correct answers Net Income / Invested Capital Accounts Receivable Turnover correct answers Sales / Average Accounts Receivable Days S...

1. Breakeven Point? ANS total cost = total revenue 2. Working capital ratio ANS current assets / current liabilities 3. Acid-test (quick) ratio ANS (cash + AR + short-term investments) / current liabilities 4. debt to assets ratio ANS total liabilities/total assets 5. FTE (full time equivalent) ANS total number of hours per employee in a week / 40 (i.e. 12+14+40+30 div. by 40) 6. Profit margin ANS NOI/Tot. Revenue. Defined as "income to sales. 2 types, gross prof margin and net prof ...

Corporate Finance Quiz Answers Which of the following items are not included when determining income from operations? - Taxes Which ratio would you use to determine the profitability of the goods sold by a company? - Gross profit margin When performing a vertical analysis which income statement item do you use to determine the cost contribution for each expense category? (What is the denominator?) - Sales Horizontal analysis allows us to analyze performance over: - Time When ca...

2024 NAB RCAL Exam Latest Questions With Complete Grade A Answers 1. Breakeven Point? Answer: total cost = total revenue 2. Working capital ratio Answer: current assets / current liabilities 3. Acid-test (quick) ratio Answer: (cash + AR + short-term investments) / current liabilities 4. debt to assets ratio Answer: total liabilities/total assets 5. FTE (full time equivalent) Answer: total number of hours per employee in a week / 40(i.e. 12+14+40+30 div. by 40) 6. Profit margin Ans...

Wall Street Prep Accounting-Exam with complete solutions Liquidity Ratios measures of a firm's short-term ability to meet its current obligations Profitability Ratios measures of a firm's profitability relative to its assets (operating efficiency) and to its revenue (operating profitability) Activity Ratios Measure of efficiency of a firm's assets Solvency Ratios Measure of a firm's ability to pay its obligations Inventory Turnover COGS / avg inventory Receivab...

Above-the-line promotion - Answer Placing adverts using the media. Acid test ratio - Answer Similar to the current ratio but excludes stocks from current assets. Sometimes called the quick ratio. Advertising - Answer Communication between a business and its customers whereby messages are placed in the media to encourage the purchase of products. Agent or broker - Answer An intermediary that brings together buyers and sellers. Anti-competitive practices or restrictive trade pr...

Breakeven Point? - ️️total cost = total revenue Working capital ratio - ️️current assets / current liabilities Acid-test (quick) ratio - ️️(cash + AR + short-term investments) / current liabilities debt to assets ratio - ️️total liabilities/total assets FTE (full time equivalent) - ️️total number of hours per employee in a week / 40 (i.e. 12+14+40+30 div. by 40) Profit margin - ️️NOI/Tot. Revenue. Defined as "income to sales. 2 types, gross prof margin and net pro...