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Anon25 [30]
2 years ago
5

Which of the following statements regarding financial statement analysis is incorrect? A. The profit margin can be viewed as a m

easure of expense control. B. The two most popular measures of company size are net sales revenue and total assets. C. A profitability ratio provides a comparison of an income measure and a size measure. D. In DuPont analysis we break return on assets down into two other ratios that can be compared to their own industry average benchmarks. E. The current ratio measures a company’s effectiveness in using fixed assets to support sales.
Business
1 answer:
irina1246 [14]2 years ago
3 0

Answer: The current ratio measures a company’s effectiveness in using fixed assets to support sales.

Explanation:

The statement regarding a financial statement analysis that is incorrect is option E "the current ratio measures a company’s effectiveness in using fixed assets to support sales".

The current ratio is used by a company to know if there are enough resources that are available in order to meet the short term obligations of the company.

This is done through the comparison of the current assets of the company to the current liabilities of the company.

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The organizations likely to benefit the most from the global reach of e-commerce are those that.
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3 0
11 months ago
You invest $1,000 in a complete portfolio. The complete portfolio is composed of a risky asset with an expected rate of return o
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Answer: 45%

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Standard deviation for the portfolio will be a weighted average of the standard deviations of the individual assets.

Risky asset has standard deviation of 20%. Assume the weight is x.

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Target Standard deviation is 9%.

Formula would be:

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x = 45%

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3 years ago
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