Answer each questions briefly

Trend analysis is a process in which we compare a company's results, or the results of a ratio, over time. The current ratio of a company is its current assets divided by its current liabilities. If Umbrella Company paid $200,000 cash dividends to Its shareholders, retained earnings would be reduced by $200,000. In a merchandising firm, sales minus cost of goods sold equals income before income taxes. All things equal, the higher a company's inventory turnover rate, the better. Vertical analysis examines changes in financial data across time. Solvency ratios measure a company's ability to meet its debt obligations. One key measure of profitability is the debt-to-equity ratio Determining gross profit is the first step in a multiple-step income statement for a merchandising firm