Copyright

In ratio analysis, the ratios are never expressed as a a) simple proportion. b) rate. c)...

Question:

In ratio analysis, the ratios are never expressed as a

a) simple proportion.

b) rate.

c) logarithm.

d) percentage.

Ratios:

Ratios are frequently used in business to analyze and compare data derived from the financial statements. The financial statements consist of the income statement, balance sheet, and statement of cash flows.

Answer and Explanation:

Answer choice c) logarithm.

Explanation:

Ratios are commonly used to analyze and compare financial data derived from the financial statements. These financial ratios can be expressed as a percentage, rate, or a simple proportion. Ratios are often expressed as a percentage when used in accounting. Some common ratios used are the quick ratio, current ratio, and accounts receivable turnover ratio.


Learn more about this topic:

Loading...
Ratios and Proportions: Definition and Examples

from Geometry: High School

Chapter 7 / Lesson 1
287K

Related to this Question

Explore our homework questions and answers library