7) If a business is insolvent, its debt to asset ratio is a. greater than 1 b. equal to 1 c. less than 1 d. zero 8) Which of the following will not change the quick ratio? a credit sale from inventory a. b. transfer of cash to a savings account c. using cash to purchase equipment d. all of the above 9) The ratio that shows how much of farm income is used to pay for borrowed capita is a. operating-expense ratio b. income-expense ratio c. interest-expense ratio d. net farm income ratio 10) Which of the following farm financial ratios best measures the trend for the overa progress of a farm business operation? a. Leverage Ratio b. Equity to Asset Ratio c. Return on Investment Ratio d. Debt Servicing Ratio Submit your answers to the Short Exercises (Part II) via the Exercises SA and S under Chapter 10. II. Short Exercises 1) Using the data below, conduct a trend analysis on their balance sheet. How wo evaluate the results? (Points: 15) Search NO