Author Question: An analyst should be careful when conducting ratio analysis to ensure that ________. A) the ... (Read 129 times)

cartlidgeashley · **on:** Jul 11, 2018

An analyst should be careful when conducting ratio analysis to ensure that ________.

A) the overall performance of a firm is not judged on a single ratio
B) the role of inflation is ignored
C) ratios being compared should be calculated using financial statements dated at different points in time during the year
D) different accounting procedures are used

Question 2

Restrictive covenants, coupled with standard debt provisions, help the lender to monitor the borrower's activities to ensure efficient use of funds.

Indicate whether the statement is true or false