To see each answer, press or click on the blue "Unscramble" button. If you have difficulty answering the following questions, learn more about this topic by reading our Financial Ratios (Explanation).
2. Current assets divided by current liabilities is the __________ ratio.
CURRENT RRTCNUE3. Cost of goods sold divided by average inventory is the inventory ______________.
TURNOVER ONRTVUER4. Net ______ sales divided by accounts receivable is the receivables turnover ratio.
CREDIT DTRIEC5. Days sales in accounts receivable is 365 divided by the ____________ turnover ratio.
RECEIVABLES BELEACVSERI6. This is excluded from the current assets when calculating the quick ratio.
INVENTORY RTYOVNEIN8. _________ analysis results in all income statement amounts expressed as a percentage of net sales.
VERTICAL ILTVRACE9. __________-size balance sheets show all amounts as a percentage of total assets.
COMMON OMNMCO10. ____________ analysis results in amounts expressed as a percentage of an earlier, base year.
HORIZONTAL LRITZHOANO11. The debt to equity ratio is the ratio of ____________ to stockholders' equity.
LIABILITIES AEITILSIBLI12. When dividing income statement amounts by balance sheet amounts, it is logical to use an ___________ of the balance sheet amounts.
AVERAGE EAERGAV14. The current ratio and the quick ratio are indicators of a company's ___________.
LIQUIDITY QIILTIDUY15. The profit margin ratio and the return on assets are indicators of a company's ____________.
PROFITABILITY LTFOIPYAIRBTI16. A very large amount of debt in relation to the amount of assets indicates that a company is highly _______________.
LEVERAGED ALEVRGEDE17. Vertical analysis is associated with __________-size financial statements.
COMMON CMONOM19. The receivables ______________ ratio is net credit sales divided by the average amount of accounts receivable.
TURNOVER RUEOTNRV20. Accountants calculate the inventory turnover ratio by dividing the ______ of goods sold by the average inventory.
COST OTCSFeatured Review
"I am currently the owner of a bookkeeping and tax business of 16 years. AccountingCoach was purchased in 2018, originally to help answer simple bookkeeping questions. Since then, I have found AccountingCoach to be extremely useful in helping my new bookkeeping hires to understand the more complex sides of bookkeeping in a simple way that saves me the time of training. It has been a wonderful tool to incorporate into making my business more successful." - Sheila H.
Join PRO or PRO Plus and Get Lifetime Access to Our Premium Materials
Read all 2,645 reviewsWe now offer 10 Certificates of Achievement for Introductory Accounting and Bookkeeping: