
Finance formulas (Year 13)
Quiz
•
Business
•
12th Grade
•
Practice Problem
•
Easy
Michael Smith
Used 6+ times
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14 questions
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1.
MULTIPLE CHOICE QUESTION
30 sec • 1 pt
What is the formula to find the current ratio of a business?
Current assets ÷ current liabilities
Current assets - inventory ÷ current liabilities
Gross profit ÷ revenue x 100
Operating profit ÷ revenue x 100
2.
MULTIPLE CHOICE QUESTION
30 sec • 1 pt
What is the formula to find the acid test ratio of a business?
Current assets ÷ current liabilities
Current assets - inventory ÷ current liabilities
Gross profit ÷ revenue x 100
Operating profit ÷ revenue x 100
3.
MULTIPLE CHOICE QUESTION
30 sec • 1 pt
What is the formula to find the gross profit margin of a business?
Current assets ÷ current liabilities
Current assets - inventory ÷ current liabilities
Gross profit ÷ revenue x 100
Operating profit ÷ revenue x 100
4.
MULTIPLE CHOICE QUESTION
30 sec • 1 pt
What is the formula to find the operating profit margin of a business?
Current assets ÷ current liabilities
Current assets - inventory ÷ current liabilities
Gross profit ÷ revenue x 100
Operating profit ÷ revenue x 100
5.
MULTIPLE CHOICE QUESTION
30 sec • 1 pt
What is the formula to find the gearing ratio of a business?
Non-current liabilities ÷ shareholders' equity + non-current liabilities
Trade receivables ÷ sales revenue x 365
Trade payables ÷ cost of sales x 365
Cost of sales ÷ average value of inventories
6.
MULTIPLE CHOICE QUESTION
30 sec • 1 pt
What is the formula to find the rate of inventory turnover of a business?
Non-current liabilities ÷ shareholders' equity + non-current liabilities
Trade receivables ÷ sales revenue x 365
Trade payables ÷ cost of sales x 365
Cost of sales ÷ average value of inventories
7.
MULTIPLE CHOICE QUESTION
30 sec • 1 pt
What is the formula to find the trade receivables turnover (in days) of a business?
Non-current liabilities ÷ shareholders' equity + non-current liabilities
Trade receivables ÷ sales revenue x 365
Trade payables ÷ cost of sales x 365
Cost of sales ÷ average value of inventories
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