Financial Ratios (Word Scramble)

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 GRNOKWI Unscramble
2. Current assets divided by current liabilities is the __________ ratio. CURRENT RTUCENR Unscramble
3. Cost of goods sold divided by average inventory is the inventory ______________. TURNOVER RRETNVOU Unscramble
4. Net ______ sales divided by accounts receivable is the receivables turnover ratio. CREDIT RDEICT Unscramble
5. Days' sales in accounts receivable is 365 divided by the ____________ turnover ratio. RECEIVABLES BESVEELARIC Unscramble
6. This is excluded from the current assets when calculating the quick ratio. INVENTORY TRNEYOVNI Unscramble
7. Another name for the quick ratio is the ______ test ratio. ACID CADI Unscramble
8. _________ analysis results in all income statement amounts expressed as a percentage of net sales. VERTICAL TREILAVC Unscramble
9. __________-size balance sheets show all amounts as a percentage of total assets. COMMON OMCNOM Unscramble
10. ____________ analysis results in amounts expressed as a percentage of an earlier, base year. HORIZONTAL LAOOTHINZR Unscramble
11. The debt to equity ratio is the ratio of ____________ to stockholders' equity. LIABILITIES BIISTEIIALL Unscramble
12. When dividing income statement amounts by balance sheet amounts, it is logical to use an ___________ of the balance sheet amounts. AVERAGE GEVRAAE Unscramble
13. Financial ratios are part of financial statement ___________. ANALYSIS SNIYASLA Unscramble
14. The current ratio and the quick ratio are indicators of a company's ___________. LIQUIDITY IIUDYTIQL Unscramble
15. The profit margin ratio and the return on assets are indicators of a company's ____________. PROFITABILITY IYITATLORIBPF Unscramble
16. A very large amount of debt in relation to the amount of assets indicates that a company is highly _______________. LEVERAGED DEAGREEVL Unscramble
17. Vertical analysis is associated with __________-size financial statements. COMMON OOCMMN Unscramble
18. Horizontal analysis is associated with _______ analysis. TREND DERTN Unscramble
19. The receivables ______________ ratio is net credit sales divided by the average amount of accounts receivable. TURNOVER NVUORERT Unscramble
20. Accountants calculate the inventory turnover ratio by dividing the ______ of goods sold by the average inventory. COST SOCT Unscramble

Want more practice questions?
Receive instant access to our graded Quick Tests (more than 1,800 unique test questions) when you join AccountingCoach PRO.

Certificate of Achievement

Certificates of Achievement

We now offer 10 Certificates of Achievement for Introductory Accounting and Bookkeeping. The certificates include Debits and Credits, Adjusting Entries, Financial Statements, Balance Sheet, Income Statement, Cash Flow Statement, Working Capital and Liquidity, Financial Ratios, Bank Reconciliation, and Payroll Accounting. Click here to learn more.

PRO Testimonial
"I am an engineer pursuing an MBA diploma and accounting & financial economics have been a huge challenge for me to overcome. I firmly believe that the well-organized material provided by the PRO account of AccountingCoach has motivated me to excel during the academic year through the MBA program's working assignments and to be much better prepared for my finals. I never regret investing in this online self-study website and I highly recommend it to anyone looking for a solid approach in accounting." - Michalis M.