Course Outline
Join PRO

Financial Ratios(Word Scramble)

Author:
Harold Averkamp, CPA, MBA

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).

1. Current assets minus current liabilities is _________ capital.

WORKING OIKWRGN
WORKING OGKNIWR

2. Current assets divided by current liabilities is the __________ ratio.

CURRENT CTUNERR
CURRENT CNTRURE

3. Cost of goods sold divided by average inventory is the inventory ______________.

TURNOVER ERROVTNU
TURNOVER TUOVENRR

4. Net ______ sales divided by accounts receivable is the receivables turnover ratio.

CREDIT ECIRDT
CREDIT DERCTI

5. Days sales in accounts receivable is 365 divided by the ____________ turnover ratio.

RECEIVABLES EBCLVERIESA
RECEIVABLES EIBLARVEESC

6. This is excluded from the current assets when calculating the quick ratio.

INVENTORY ETRONNIYV
INVENTORY IEYNONVRT

7. Another name for the quick ratio is the ______ test ratio.

ACID IADC
ACID DACI

8. _________ analysis results in all income statement amounts expressed as a percentage of net sales.

VERTICAL VLRICAET
VERTICAL CERTAILV

9. __________-size balance sheets show all amounts as a percentage of total assets.

COMMON CONMMO
COMMON MMONCO

10. ____________ analysis results in amounts expressed as a percentage of an earlier, base year.

HORIZONTAL OTLHNZRIAO
HORIZONTAL ILRNHTOAOZ

11. The debt to equity ratio is the ratio of ____________ to stockholders' equity.

LIABILITIES LATLIBIISIE
LIABILITIES IAIILIBTESL

12. When dividing income statement amounts by balance sheet amounts, it is logical to use an ___________ of the balance sheet amounts.

AVERAGE AEVAGRE
AVERAGE EERGAAV

13. Financial ratios are part of financial statement ___________.

ANALYSIS YSLIAASN
ANALYSIS IYNASALS

14. The current ratio and the quick ratio are indicators of a company's ___________.

LIQUIDITY ILIIDUQTY
LIQUIDITY IUDLTIYIQ

15. The profit margin ratio and the return on assets are indicators of a company's ____________.

PROFITABILITY RLBTYOIFPITIA
PROFITABILITY IROFTLBAPIYIT

16. A very large amount of debt in relation to the amount of assets indicates that a company is highly _______________.

LEVERAGED GVEEREDAL
LEVERAGED DVEGEAREL

17. Vertical analysis is associated with __________-size financial statements.

COMMON NOCMOM
COMMON MMONCO

18. Horizontal analysis is associated with _______ analysis.

TREND TREDN
TREND RDTNE

19. The receivables ______________ ratio is net credit sales divided by the average amount of accounts receivable.

TURNOVER ORUTVRNE
TURNOVER TRVUONRE

20. Accountants calculate the inventory turnover ratio by dividing the ______ of goods sold by the average inventory.

COST CSOT
COST TCOS
Must-Watch Video

Learn How to Advance Your Accounting and Bookkeeping Career

  • Perform better at your current job
  • Refresh your skills to re-enter the workforce
  • Pass your accounting class
  • Understand your small business finances
Watch the Video

Join PRO or PRO Plus and Get Lifetime Access to Our Premium Materials

Read all 2,645 reviews

Features

PRO

PRO Plus

Features
Lifetime Access (One-Time Fee)
Explanations
Quizzes
Q&A
Word Scrambles
Crosswords
Bookkeeping Video Training
Financial Statements Video Training
Flashcards
Visual Tutorials
Quick Tests
Quick Tests with Coaching
Cheat Sheets
Business Forms
All PDF Files
Progress Tracking
Earn Badges and Points
Certificate - Debits and Credits
Certificate - Adjusting Entries
Certificate - Financial Statements
Certificate - Balance Sheet
Certificate - Income Statement
Certificate - Cash Flow Statement
Certificate - Working Capital
Certificate - Financial Ratios
Certificate - Bank Reconciliation
Certificate - Payroll Accounting

About the Author

Harold Averkamp

For the past 52 years, Harold Averkamp (CPA, MBA) has worked as an accounting supervisor, manager, consultant, university instructor, and innovator in teaching accounting online. He is the sole author of all the materials on AccountingCoach.com.

Learn More About Harold

Certificates of
Achievement

Certificates of Achievement

We now offer 10 Certificates of Achievement for Introductory Accounting and Bookkeeping:

  • Debits and Credits
  • Adjusting Entries
  • Financial Statements
  • Balance Sheet
  • Income Statement
  • Cash Flow Statement
  • Working Capital and Liquidity
  • Financial Ratios
  • Bank Reconciliation
  • Payroll Accounting
Badges and Points
  • Work towards and earn 30 badges
  • Earn points as you work towards completing our course
View PRO Plus Features
Course Outline
Take the Tour Join Pro Upgrade to Pro Plus