Create an account
measure firms ability to meet its short-term obligations to creditors as they come due
Liquidity ratio standard for chiropractic is _____ according to Chiropractic Economics, May 22, 2007
measures the firm's ability to meet current obligations with the most liquid of current assets
Standard quick ratio for the idustry of chiroopractic is (#) , according to Chiropractic Economics, May 22, 2007
Average collection period
measures how long it takes an office to convert a credit sale (sale on account) into cash
True or False: the higher the number, the shorter the collection period (...the better)
Accounts Receivable Turnover Ratio
measures how many times accounts receivable are rolled over during a year
True or False: The greater the number for current ratio the more the turnover (...the better, generally)
accounts receivable turnover ratio Industry ratio is (#) for chiropractic, according to Chiropractic Economics
measure the extent to which firms use debt to source financing and ability to service debt
measures the proportion of a firm's total assets that is acquired with the borrowed funds
True or False: A higher percentage of leverage ratio can be considered okay if borrowed at a good interest rate and used to generate revenue
4 (all of the above)
Profitability Ratios - measure ability to...1) turn sales into profits 2) earn profits on committed assets 3) management efficiency 4) all of the above
Net profit margin
measures the percentage of each sales dollar that remains as profit after all expenses including taxes have been paid
Return on Investment
indicates a firm's effectiveness in generating profits from its available assets
Please allow access to your computer’s microphone to use Voice Recording.
Having trouble? Click here for help.
We can’t access your microphone!
Click the icon above to update your browser permissions and try again
Reload the page to try again!Reload
Press Cmd-0 to reset your zoom
Press Ctrl-0 to reset your zoom
It looks like your browser might be zoomed in or out. Your browser needs to be zoomed to a normal size to record audio.
Please upgrade Flash or install Chrome
to use Voice Recording.
For more help, see our troubleshooting page.
Your microphone is muted
For help fixing this issue, see this FAQ.
Star this term
You can study starred terms together