Question

Fill in the blanks by selecting appropriate word/s the List II.

List I:

1.    The _____ ratios are primarily measures of return: 2.    The _ of business firm is measured by its ability to satisfy its short-term obligations as they become due: 3.    _ ratios are a measure of the speed with which various accounts are converted into revenue from operations or cash: 4.    The two basic measures of liquidity are _,_. 5.    The _ is a measure of liquidity which excludes ___, generally the least liquid asset.

List II:

a.    profitability

b.    liquidity

c.     activity

d.    current ratio, liquid ratio

e.    liquid ratio, inventory

A 1-a, 2-b, 3-c, 4-d, 5-e

B 1-a, 2-b, 3-c, 4-e, 5-d

C 1-a, 2-b, 3-c, 4-d, 5-e

D 1-a, 2-b, 3-d, 4-c, 5-e

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