Questions from General Entrepreneurship

Q: Summarize the categories of expenses in a cash flow statement. Provide

Summarize the categories of expenses in a cash flow statement. Provide specific examples.

Q: What are the four means to evaluate the firm, its activities

What are the four means to evaluate the firm, its activities, and its performance?

Q: What do liquidity ratios seek to measure? What are the major

What do liquidity ratios seek to measure? What are the major types of liquidity ratios?

Q: Why are industry averages important to the interpretation of ratios?

Why are industry averages important to the interpretation of ratios?

Q: What do activity ratios seem to measure? What are the major

What do activity ratios seem to measure? What are the major types of activity ratios?

Q: What do leverage ratios seek to measure? What are the major

What do leverage ratios seek to measure? What are the major types of liquidity ratios?

Q: What do performance ratios seek to measure? What are the major

What do performance ratios seek to measure? What are the major types of performance ratios?

Q: List two performance measures and explain their significance. (Any two

List two performance measures and explain their significance. (Any two of the three)

Q: How is a deviation analysis used by a business?

How is a deviation analysis used by a business?

Q: How is sensitivity analysis used to protect a business?

How is sensitivity analysis used to protect a business?