How are financial ratios useful to entrepreneurs?
What will be an ideal response?
Ratios put the information on the financial statements into context. They are easy to calculate and make understanding financial statements easier. They can be used to compare the historic performance of the firm (time-series) or compare the performance versus peers at a point in time (cross-sectional).
You might also like to view...
________ approach uses concepts and tools from anthropology and other social science disciplines to provide deep cultural understanding of how people live and work
A) Cognitive research B) Inductive research C) Archaeological research D) Ethnographic research E) Deductive research
What is skill-based pay? What are its advantages and disadvantages?
What will be an ideal response?
Which of the following statements is false?
A) Debenture bonds are secured liabilities B) Debenture bonds are issued based upon the credit rating of the company C) A company must have a long history of profitability to issue debenture bonds. D) A company must have strong positive cash flows to issue debenture bonds.
Trust is more likely to be present in a(n) ______.
a. tangible relationship b. intangible relationship c. follower based relationship d. relationship based on currency