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Question Practice

What is an accounting ratio?

Attempt the question, check the explanation, and continue with similar questions to build confidence before exams.

MCQ_SA
CBSE
Class 12
Accountancy
Accountancy Part - II
Accounting Ratios
Question Bank

What is an accounting ratio?

Single Answer MCQ
Q-00082728

What is an accounting ratio?

1

A fixed cost number in accounting

2

A mathematical comparison of two or more numbers

3

A type of financial statement

4

An estimate of future profits

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Q1.

Which of the following can an accounting ratio NOT represent?

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Q2.

The gross profit ratio shows the relationship between which two figures?

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Q3.

Which of the following ratios is used to measure liquidity?

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Q4.

Why is the accuracy of the financial statements important for ratio analysis?

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