Question 1
Which of the following ratio is considered to be a better indicator of a firm's ability to pay creditor because it leaves out inventories?
◦ Accounts receivable turnover ratio
◦ Inventory turnover ratio
◦ Quick ratio
◦ Debt-to-equity ratio
◦ Equity-to-debt ratio
Question 2
Which of the following refers to evaluating a company's performance and the economic implications of strategic decisions such as product pricing, employee benefits, and business acquisitions?
◦ Financial analysis
◦ Tax accounting
◦ Bookkeeping
◦ Cost accounting
◦ Forensic accounting