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CFA Level 1 FRA question with complete solution 2023 R179,07   Add to cart

Exam (elaborations)

CFA Level 1 FRA question with complete solution 2023

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CFA Level 1 FRA question with complete solution 2023Current Ratio - correct answer Current Assets divided by current liabilities Quick Ratio - correct answer Cash plus marketable securities plus receivables divided by current liabilities Cash Ratio - correct answer Cash plus marketable securi...

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  • June 15, 2023
  • 9
  • 2022/2023
  • Exam (elaborations)
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CFA Level 1 FRA question with complete
solution 2023

Current Ratio - correct answer Current Assets divided by current liabilities



Quick Ratio - correct answer Cash plus marketable securities plus receivables divided by current liabilities



Cash Ratio - correct answer Cash plus marketable securities divided by current liabilities



Defensive Interval Ratio - correct answer Cash plus marketable securities plus receivables divided by
average daily expenditures



Cash Conversion cycle - correct answer days in inventory plus days in accounts receivables minus days in
accounts payable



Accounts receivable turnover - correct answer revenue divided by average accounts receivable



inventory turnover - correct answer cost of goods sold divided by average inventory



Accounts payable turnover - correct answer purchases divided by average accounts payable



Cost of Goods Sold - correct answer Beginning inventory plus purchases minus ending inventory



Operating cycle - correct answer days in inventory plus days in accounts receivable



Fixed asset turnover - correct answer revenue divided by average net fixed assets



working capital turnover - correct answer revenue divided by average working capital

, equity turnover - correct answer revenue divided by average equity



debt to equity ratio - correct answer total debt divided by total equity



debt ratio - correct answer total debt divided by total assets



debt to total capital ratio - correct answer total debt divided by total debt plus total equity



Financial leverage ratio - correct answer average total assets divided by average total equity



interest coverage ratio - correct answer EBIT divided by interest payments



Fixed charge coverage ratio - correct answer EBIT plus lease payments divided by interest payments plus
lease payments



Gross profit - correct answer Sales minus cost of goods sold



Gross profit margin - correct answer gross profit divided by revenue



operating profit margin - correct answer operating profit divided by revenue



pretax margin - correct answer earnings before tax divided by revenue



Net profit margin - correct answer net income divided by revenue



Return on assets - correct answer net income divided by average total assets



Return on Assets - correct answer EBIT divided by average total assets

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