WorksheetsFinancial Statements and Ratios
Total questions: 10
Worksheet time: 4mins
When you study a company's business model, product mix, competition, management, and brand, you are studying ___________________ measures.
creative
quantitative
qualitative
technical
The two major sections on an income statement are ___________.
revenue and expenses
assets and liabilities
assets and expenses
cash flow and revenue
SNAP, Inc. has a PE of 50 and a stock price of $35 while TRIP, Inc. has a PE of 15 and a stock price of $35. Based on PE only, which company might be considered "undervalued".
SNAP, Inc.
TRIP, Inc.
If an investor wants to know how much out of every dollar of sales a company actually keeps in earnings, look at the company's financial statements and find the ________________.
earnings per share
profit margin
sales
debt margin
TokTik has a Debt to Equity of 50. What does this financial measure tell you about TokTik?
TokTik has a difference of $50 per share between their debt and equity.
TokTik has $50 of debt for every $1 of a shareholder's equity.
TokTik is 50 times more likely to pay off its long-term debt.
Every $50 of a shareholder's equity is worth $1 of debt.
BIGnsmall, Inc. had an EPS of $6.66. This means
the company has earnings expectations of $6.66 based on the future forecast.
the company made $6.66 in revenue per share (before expenses).
the company made $6.66 in profit per share (after expenses).
the company paid $6.66 in dividends to shareholders.
As an investor, you would typically want ROE (return on equity) to be ________________________.
lower than competitors
higher than competitors
greater than beta
zero
Ozark Company has a profit margin of 12%. This means,
they spend $12 for every $1 they make.
they keep $1 in profit for every $1000 in revenue.
they keep 12 cents for every $1.00 of sales.
they spend 12% of their budget.
Studying a company's financial statements and using comparisons and ratios is called _____________ measures.
creative
quantitative
qualitative
technical
In 2019, PLAYco had sales of $100,000 and then in 2020, sales increased to $150,000. What is the % increase for PLAYco sales?
100%
75%
50%
25%
