W02 Quiz: Financial Statements and Key Ratios
Due
Points 30
Questions 15
Available until
Time Limit None
Instructions
Overview
Task: Review the material and take this quiz.
Purpose: Assess your knowledge of Key Ratios and Financial Statements.
Instructions
1. Review the study materials for Key Ratios and Financial Statements.
2. Complete this open book and open resources quiz.
This is an individual exercise. Do not work on this activity with anyone else.
NOTE: The answers to this quiz will be visible after the due date.
Attempt History
Attempt Time Score
LATEST Attempt 1 minutes 30 out of 30
Correct answers will be available on
Score for this quiz: 30 out of 30
Submitted
This attempt took minutes.
Question 1
pts
Geraldine's Grocery Store noticed that the company's current ratio has increased from 3.50 last year
to 7.88 this year. Generally speaking, is this a good thing or a bad thing for the company?
This is a good thing. It means the company has more working capital than it used to and can come up with more
cash than it used to be able to.
This means nothing. The measurement really is not relevant.
This is generally considered negative because one's current liabilities have increased.
, This is bad. It means that the company has seen a decrease in current assets and can no longer come up with as
much money as it used to.
Question 2
pts
Harvey's Fishing Supply Warehouse has the following on its balance sheet.
Current assets = $425,000
Long-term and other assets = $500,000
Current liabilities = $265,000
Long-term and other liabilities = $150,000
Shareholders Equity = $510,000
Compute the Company's Debt to Equity Ratio.
0.29
0.51
1.62
0.81
Question 3
pts
Jim and John's Sandwich Shop has noticed that their Profit Margin has increased this year. What are
all the possible causes for this? (Select all that apply)
The company's SG&A Expenses have decreased
The company's sales have increased
The company's variable costs (COGS) have decreased
The company's debt level has increased
Question 4
pts
Sabrina's Subs shows the following on its balance sheet.
Current assets = $425,000
Long-term and other assets = $500,000
Current liabilities = $165,000
Long-term and other liabilities = $150,000
Compute the company's debt to total assets ratio.
Due
Points 30
Questions 15
Available until
Time Limit None
Instructions
Overview
Task: Review the material and take this quiz.
Purpose: Assess your knowledge of Key Ratios and Financial Statements.
Instructions
1. Review the study materials for Key Ratios and Financial Statements.
2. Complete this open book and open resources quiz.
This is an individual exercise. Do not work on this activity with anyone else.
NOTE: The answers to this quiz will be visible after the due date.
Attempt History
Attempt Time Score
LATEST Attempt 1 minutes 30 out of 30
Correct answers will be available on
Score for this quiz: 30 out of 30
Submitted
This attempt took minutes.
Question 1
pts
Geraldine's Grocery Store noticed that the company's current ratio has increased from 3.50 last year
to 7.88 this year. Generally speaking, is this a good thing or a bad thing for the company?
This is a good thing. It means the company has more working capital than it used to and can come up with more
cash than it used to be able to.
This means nothing. The measurement really is not relevant.
This is generally considered negative because one's current liabilities have increased.
, This is bad. It means that the company has seen a decrease in current assets and can no longer come up with as
much money as it used to.
Question 2
pts
Harvey's Fishing Supply Warehouse has the following on its balance sheet.
Current assets = $425,000
Long-term and other assets = $500,000
Current liabilities = $265,000
Long-term and other liabilities = $150,000
Shareholders Equity = $510,000
Compute the Company's Debt to Equity Ratio.
0.29
0.51
1.62
0.81
Question 3
pts
Jim and John's Sandwich Shop has noticed that their Profit Margin has increased this year. What are
all the possible causes for this? (Select all that apply)
The company's SG&A Expenses have decreased
The company's sales have increased
The company's variable costs (COGS) have decreased
The company's debt level has increased
Question 4
pts
Sabrina's Subs shows the following on its balance sheet.
Current assets = $425,000
Long-term and other assets = $500,000
Current liabilities = $165,000
Long-term and other liabilities = $150,000
Compute the company's debt to total assets ratio.
