and so on.............................................................................................................

(a) (b) Indicate whether each of the following ratios is a liquidity ratio, an activity ratio, a solvency ratio, a profitability ratio, or an equity analysis ratio Indicate whether a higher or lower result is normally desirable. Ratio Quick ratio Accounts receivables average collection period Net debt as a percentage of total capitalization Gross profit margin Earnings per share Interest coverage Inventory turnover Net profit margin Return on equity Net free cash flow Activity Ratio Liquidity Ratio Profitability Ratio Equity Analysis Ratio Solvency Ratio (a) Indicate whether each of the following ratios is a liquidity ratio, an activity ratio, a solvency ratio, a profitability ratio, or an equity analysis ratio (b) Indicate whether a higher or lower result is normally desirable. Ratio Quick ratio Accounts receivables average collection period Lower Higher Net debt as a percentage of total capitalization Gross profit margin Earnings per share Interest coverage Inventory turnover Net profit margin Return on equity Net free cash flow Ratio Quick ratio Accounts receivables average collection period Net debt as a percentage of total capitalization Gross profit margin Earnings per share Interest coverage Inventory turnover Net profit margin Return on equity Net free cash flow Equity Analysis Ratio l icguiiy Ri Activity Ratio Solvency Ratio Profitability Ratio