Holding all other factors constant, indicate whether each of the following changes generally signals good or bad

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Holding all other factors constant, indicate whether each of the following changes generally signals good or bad news about a company.

(a) Increase in profit margin ratio.

(b) Decrease in inventory turnover ratio.

(c) Increase in current ratio.

(d) Decrease in earnings per share.

(e) Increase in price-earnings ratio.

(f) Increase in debt to total assets ratio. (g) Decrease in times interest earned ratio.

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Financial Accounting Tools For Business Decision Making

ISBN: 9780471691952

3rd Edition

Authors: Paul D. Kimmel, Jerry J. Weygandt, Donald E. Kieso

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