To measure the profitability of a business, among the following which ratio will be used?
i. Acid test ratio
ii. Return on capital employed
iii. Net profit ratio
iv. Interest protection ratio
v. Stock periodic ratio
6. Debt equity ratio
A. Only iii
B. i and iii
C. ii and iii
D. i, ii, iii and iv
Answer: Option C
Related Questions on Accounting
Accounting provides information on
A. Cost and income for managers
B. Company's tax liability for a particular year
C. Financial conditions of an institutions
D. All of the above
The long term assets that have no physical existence but are rights that have value is known as
A. Current assets
B. Fixed assets
C. Intangible assets
D. Investments
The assets that can be converted into cash within a short period (i.e. 1 year or less) are known as
A. Current assets
B. Fixed assets
C. Intangible assets
D. Investments
Patents, Copyrights and Trademarks are
A. Current assets
B. Fixed assets
C. Intangible assets
D. Investments
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