ACCA Ratio Analysis — practice questions
23 free MCQs with worked solutions. Tap any question for the answer + explanation, or practice them all in the app.
Practice ACCA Ratio Analysis in the app →In a horizontal analysis of financial statements, what is being measured?In a vertical analysis of an income statement, each line item is expressed as a percentage of which figure?Current assets are $911,000 and current liabilities are $364,000. What is the current ratio (to one decimal)?Which current assets are excluded when computing the quick ratio?Cash is $373,000, marketable securities $248,000, accounts receivable $108,000, inventory $55,000, prepaid insSales are $994,000. Accounts receivable was $91,000 at the start of the year and $108,000 at the end. What is Average accounts receivable is $99,500 and sales are $994,000. Using a 365-day year, what is the number of dayCost of merchandise sold is $414,000. Inventory was $48,000 at the start and $55,000 at the end of the year. WAverage inventory is $51,500 and cost of merchandise sold is $414,000. Using a 365-day year, what is the numbeTotal liabilities are $1,275,000 and total stockholders' equity is $2,675,000. What is the ratio of liabilitieBook value of fixed assets is $1,093,000 and long-term liabilities are $911,000. What is the ratio of fixed asIncome before income tax is $314,000 and interest expense is $55,000. What is the number of times interest chaNet income is $248,000 and preferred dividends are $12,000. What is the number of times preferred dividends arNet income is $248,000, interest expense is $55,000, and average total assets are $3,778,000. What is the retuNet income is $248,000. Total stockholders' equity was $2,447,000 at the start and $2,675,000 at the end of thNet income is $248,000 and preferred dividends are $12,000. Average common stockholders' equity is $2,395,000.Net income is $248,000 and preferred dividends are $12,000. Common stock of $83,000 has a $10 par value. What Gross profit is $580,000 and sales are $994,000. What is the gross profit percentage (to one decimal)?Net income is $248,000 and sales are $994,000. What is the profit margin (to one decimal)?Common stock dividends are $8,000 and common stock of $83,000 has a $10 par value. What is the dividends per sDividends per share are $0.96 and the market price per share is $70.00. What is the dividend yield (to one decThe market price per share is $70.00 and earnings per share is $28.43. What is the price-earnings ratio (to onA DuPont analysis breaks the return on equity into which three components?