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Please choose 3 terms from the following list for this paper

Review the objectives from Week Three, and discuss additional insights and questions.

Please choose 3 terms from the following list for this paper. Avoid Financial analysis.

Financial analysis
Sustainable income
Irregular items
Discontinued operations
Extraordinary items
Changes in accounting principle
Comprehensive income
Comparative analysis
Horizontal analysis
Vertical analysis
Industry averages
Ratio analysis
Liquidity ratios
Working capital
Current ratio
Inventory turnover
Receivables turnover
Other
Solvency ratios
Debt to total assets
Cash debt coverage
Times interest earned
Free cash flow
Other
Profitability ratios
Earnings per share
Price-earnings
Profit margin
Return on assets
Return on Investment (ROI)
Other
Quality of earnings
Alternative accounting methods
Pro forma income
Improper recognition
Price-earnings ratio

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ACC400 - Accounting for Decision Making

Liquidity ratios
Inventory turnover
Improper recognition

The liquidity ratios are extremely important to a company. The liquidity ratios typically include three main ratios, which are the current ratio, the quick ratio, and the cash ratio. The liquidity ratios show investors, creditors, and other users of the company's financial statements how liquid the company is, or how quickly the company can covert current assets into cash. The current ratio is the first liquidity ratio that is generally examined, followed by the quick ratio, and lastly the cash ratio. When a company has a ...

Solution Summary

Please choose 3 terms from the following list for this paper. Avoid Financial analysis.

Financial analysis
Sustainable income
Irregular items
Discontinued operations
Extraordinary items
Changes in accounting principle
Comprehensive income
Comparative analysis
Horizontal analysis
Vertical analysis
Industry averages
Ratio analysis
Liquidity ratios
Working capital
Current ratio
Inventory turnover
Receivables turnover
Other
Solvency ratios
Debt to total assets
Cash debt coverage
Times interest earned
Free cash flow
Other
Profitability ratios
Earnings per share
Price-earnings
Profit margin
Return on assets
Return on Investment (ROI)
Other
Quality of earnings
Alternative accounting methods
Pro forma income
Improper recognition
Price-earnings ratio

$2.19