Ratios
Authored by Emma Osborne
Business
11th Grade
Used 34+ times
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10 questions
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1.
MULTIPLE CHOICE QUESTION
30 sec • 1 pt
Gross profit is calculated by...
Revenue - cost of sales
Revenue + cost of sales
Revenue - expenses
Revenue + expenses
2.
MULTIPLE CHOICE QUESTION
30 sec • 1 pt
Net profit is calculated by...
Revenue / fixed costs
Revenue - cost of sales
Gross profit - expenses
Gross profit + fixed costs
3.
MULTIPLE CHOICE QUESTION
30 sec • 1 pt
Liquidity measures...
Whether the business has enough cash to pay their bills
Whether the business will make a profit
Whether the business will survive
Whether people should invest in the business
4.
MULTIPLE CHOICE QUESTION
30 sec • 1 pt
Gross profit margin is calculated by...
Gross profit / Revenue
(Gross profit / Revenue) x 100
(Gross profit + Revenue) x 100
Gross Profit - 100
5.
MULTIPLE CHOICE QUESTION
30 sec • 1 pt
Net profit margin is calculated by...
(Net profit / Revenue) x 100
Net profit + Revenue
Net profit / Revenue
(Expenses - Revenue) x 100
6.
MULTIPLE CHOICE QUESTION
30 sec • 1 pt
Current ratio is calculated by...
Current assets + Current liabilities
Current assets / Current liabilities
(Current assets - Stock) / Current liabilities
((Current assets - Stock) / Current liabilities) x 100
7.
MULTIPLE CHOICE QUESTION
30 sec • 1 pt
The ideal result for the current ratio is...
Exactly 1 : 1
Exactly 1.5 : 1
Between 1 and 5 : 1
Between 1.5 and 2 :1
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