Which of the following statements is TRUE regarding the debt ratio?
A) The debt ratio focuses on the current total liabilities of an organization.
B) The debt ratio reveals the percentage of a business' assets financed with liabilities.
C) The debt ratio is used to analyze a business's ability to pay its current obligations as they come due.
D) The debt ratio addresses the ability of a company to pay interest on its debt.
B) The debt ratio reveals the percentage of a business' assets financed with liabilities.
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Which of the following is not a basic operations management activity?
a. Transformation b. Marketing c. Distribution d. Storage
Which of the following is NOT true of a fixed-position layout?
a. The product remains stationary in the plant. b. The resources are brought to the product’s location. c. It works well for project-type processes such as shipbuilding. d. It is also referred to as a straight-line layout.
Assume that Bubba orders 15 cases of BBQ chips from Mays Potato Chips for his restaurant, Bubba's BBQ. Mays ships 15 cases of regular chips by mistake. If Bubba decides to keep the regular chips, in spite of the nonconformity with the contract, then the destruction of the chips when a water pipe breaks in the food storage room will result in:
a. Mays' having to bear the loss, because it shipped nonconforming goods to Bubba. b. Mays' having to bear the loss, because it failed to insure the chips. c. Bubba's having to bear the loss, because he accepted delivery of the nonconforming chips. d. Bubba's having to bear the loss, because it was a sale on approval contract.
Taco-Taco Pizza, Inc, offers entrepreneurs the opportunity to operate a franchise under the Taco-Taco Pizza trade name as a member of a select group of dealers. To possible investors, Taco-Taco Pizza makes claims about the earnings potential of a franchise. For those claims, the franchisor must have
a. a hypothetical basis. b. a reasonable basis. c. an actual basis. d. no basis.