Ratio analysis

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  • Created by: apple87
  • Created on: 21-04-15 12:02

1. What is the formula for return on capital employed?

  • Profit from operations/capital employed x100
  • Profit for the year/capital employed x100
  • Capital employed/profit from operations x100
  • Operating profit x capital employed
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Other questions in this quiz

2. What is the formula for liquid capital ratio?

  • Current assets-inventory/current liabilities x100
  • Inventory x current assets
  • Current assets- inventory/current libilities
  • Inventory/current liabilities

3. What is the formula for trade receivable days?

  • Trade receivables/ credit sales x365
  • Trade payables/ credit purchases x100
  • Trade payables /credit sales x365
  • Trade receviables/credit purchases x365

4. What is the formula for rate of inventory turnover?

  • Cost of sales/average inventory
  • Average inventory/cost of sales
  • Cost of sales/average inventory x100
  • Cost of sales x average inventory

5. What is the formula for trade payable days?

  • Trade payables/credit purchases x365
  • Credit purchases/Trade payables x365
  • Trade payables/ credit sales x365
  • Trade payables/credit purchases x100

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