50 Questions on
Accounting Ratios for Financial Statement Analysis
App Description:
This app provides a quick reference on how to calculate financial ratios for analyzing the profitability, activity, liquidity and solvency of business entities.
Basic concepts are structured in a question-and-answer format for instant application to real-world analysis.
Read questions and answers in "Review Mode" first and then test your understanding by using the "Quiz Mode" feature. You can switch between review and quiz modes at any time.
This app was designed to help:
(1) Students who are currently taking an accounting course;
(2) Students who wish to refresh their knowledge of financial ratios; and
(3) Business professionals who would like to review accounting ratios that can be used in analyzing financial statements.
The app includes 50 questions organized into 8 sections:
Section 1: Financial Ratios Overview
Q1. List of financial ratios
Q2. List of profitability ratios
Q3. List of activity ratios
Q4. List of liquidity ratios
Q5. List of solvency ratios
Q6. List of cash flow ratios
Q7. List of stock market related ratios
Q8. Financial statements
Q9. Information provided by financial statements
Q10. Balance sheet
Q11. Income statement
Q12. Statement of cash flows
Q13. Financial data sources
Section 2. Profitability Ratios
Q14. Profit margin ratio
Q15. Gross profit ratio
Q16. Return on assets (ROA)
Q17. Return on equity (ROE)
Q18. Earnings per share (EPS)
Q19. Du Pont analysis
Section 3. Activity Ratios
Q20. Assets turnover ratio
Q21. Inventory turnover ratio
Q22. Accounts receivable turnover ratio
Q23. Accounts payable turnover ratio
Section 4. Liquidity Ratios
Q24. Current ratio
Q25. Quick ratio
Q26. Working capital ratio
Section 5. Solvency Ratios
Q27. Debt to equity ratio
Q28. Debt to assets ratio
Q29. Long-term debt to assets ratio
Q30. Times interest earned ratio
Q31. Assets to equity ratio
Q32. Financial leverage
Section 6. Cash Flow Ratios
Q33. Cash flow return on assets (Cash flow ROA)
Q34. Current debt to cash flow ratio
Q35. Debt to cash flow ratio
Q36. Free cash flow
Section 7. Stock Market Related Ratios
Q37. Price earnings (P/E) ratio
Q38. Price to book ratio
Q39. Dividend payout ratio
Q40. Dividend yield
Section 8. Review Questions
Q41. Review of financial statements
Q42. Review of profitability ratios
Q43. Review of activity ratios
Q44. Review of liquidity ratios
Q45. Review of solvency ratios
Q46. Example I-A
Q47. Example I-B
Q48. Example II-A
Q49. Example II-B
Q50. Definitions of ratios