BUSINESS FINANCE QUIZ

NAME: __________________________ DATE: ________________ SCORE: _________

Write: LiR = Liquidity Ratio LeR = Leverage Ratio

__________1. Quick Asset Ratio

__________2. Debt to Equity Ratio
__________3. Interest Coverage Ratio
__________4. Current Ratio
__________5. Debt Ratio

Write: CR = Current Ratio QAR = Quick Asset Ratio

DR = Debt Ratio DER = Debt to Equity Ratio
ICR = Interest Coverage Ratio

__________6. EBIT + Interest Expense

__________7. Total Liabilities / Total Stockholders’ Equity
__________8. Total Liabilities / Total Liabilities
__________9. (Current Assets – Inventories) / Current Liabilities
__________10. Current Assets / Current Liabilities
__________11. The company can pay its obligations on time.
__________12. In every Php 1.00 it has quick assets 0.43 cents. Therefore, it is
quite difficult to meet pay its obligations.
__________13. With the result of 1.24, the company has more liabilities than the
stockholders’ equity.
__________14. The company has enough income from its main operations than the
interest it has to pay.
__________15. With the result of 0.48, the company has more money on its
stockholders’ equity than its obligations that they have to pay.