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Subject - Accounting:

Financial Statement Analysis

MCQ - 286-288

Question:

Which of the following statements (in general) is CORRECT?

  1. A low receivables turnover is desirable
  2. The lower the total debt-to-equity ratio, the lower the financial risk for a firm
  3. An increase in net profit margin with no change in sales or assets means a weaker ROI
  4. The lower the total debt-to-equity ratio, the lower the financial risk for a firm

Correct Answer: B

Explanation:

Not Required

Record Performance

355 MCQ for effective preparation of the test of Financial Statement Analysis of Accounting section.

Read the MCQ statement: Which of the following statements (in general) is CORRECT? , keenly and apply the method you have learn through the video lessons for Financial Statement Analysis to give the answer. Record your answer and check its correct answer and video explanation for MCQ No. 286-288.

How to Answer

Solve the question for MCQ No. and decide which option (A through D/E) is the best choice to answer the MCQ, then click/tap the blue button to view the correct answer and it explanation.

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