4.If earnings per share (EPS) decreases, it must mean that the company's net income has fallen.

True

False

6.The higher the times interest earned ratio, the greater the risk of nonpayment of interest.

True

False

8.A company with a high inventory turnover requires a larger investment in inventory than another company of similar sales with a lower inventory turnover.

True

False

9.According to the full disclosure principle, financial reports should present detailed information about every transaction.

True

False

11.Trend data can be measured in dollar amounts or percentages.

True

False

12. Liquidity measures the ability of a company to meet its current financial obligations.

True

False