1 point Which of the following statements is correct? Statement 1. Ratios are used to compare different companies in the same industry. Statement 2. Financial ratios are used to weigh and evaluate the operational performance of the company. Statement 3. Liquidity ratios indicate how fast a company can generate cash to pay bills. * Statement 1 only. Statement 2 only Statement 3 only. All of the statements are correct. O None of the statement is correct. Which of the following statements is correct? Statement 1. Asset 1 point utilization ratios describe how capital is being utilized to buy assets. Statement 2. Profitability ratios allow one to measure the ability of the firm to earn an adequate return on sales, total assets, and invested capital. Statement 3. Asset utilization ratios measure the returns on various assets such as return on total assets. * Statement 1 only. Statement 2 only Statement 3 only All of the statements are correct. None of the statement is correct. 1 point Which of the following statements is NOT correct? Statement 1. Debt utilization ratios are used to evaluate the firm's debt position with regard to its asset base and earning power. Statement 2. The DuPont system of analysis emphasizes that profit generated by assets can be derived by various combinations of profit margins and asset turnover. Statement 3. Satisfactory return on assets may be achieved through high profit margins or rapid turnover of assets, but not a combination of both. * Statement 1 only O Statement 2 only. Statement 3 only. All of the statements are NOT correct. O All of the statements are correct. 1 point Which one of the following ratios would be of greatest interest to a bank that is considering lending money to a firm?* Times interest earned Auron nollootinn narind 1 point Which one of the following ratios would be of greatest interest to a bank that is considering lending money to a firm?* Times interest earned Average collection period Return on equity Inventory turnover MAIL TILIR