E13-5 Matching Each Ratio with Its Computational Formula LO 13-4, 13-5, 13-6, 13-7
Match each definition with its related ratios or percentages by selecting the appropriate letter in the drop down provided.
Definitions:				Ratios or Percentages	Definitions
A.	Net Income (before extraordinary items) Net Sales		1	Profit margin
B.	Days in Year Receivable Turnover ratio		2	Inventory turnover ratio
C.	Net Income Average Stockholders Equity		3	Average collection period
D.	Net Income Average Number of Shares of Common Stock Outstanding		4	Dividend yield ratio
E.	Return on Equity Return on Assets		5	Return on equity
F.	Quick Assets Current Liabilities		6	Current ratio
G.	Current Assets Current Liabilities		7	Debt-to-equity ratio
H.	Cost of Goods Sold Average Inventory		8	Price/earnings ratio
I.	Net Credit Sales Average Net Receivables		9	Financial leverage percentage	E
J.	Days in Year Inventory Turnover Ratio		10	Receivable turnover ratio
K.	Total Liabilities Stockholders Equity		11	Average days supply of inventory
L.	Dividends per Share Market Price per Share		12	Earnings per share
M.	Market Price per Share Earnings per Share		13	Return on assets
N.	[Net Income + Interest Expense (net of tax)] Average Total Assets		14	Quick ratio
O.	Cash from Operating Activities (before interest and taxes) Interest Paid		15	Times interest earned
P.	Net Sales Revenue Net Fixed Assets		16	Cash coverage ratio
Q.	(Net Income + Interest Expense + Income Tax Expense) Interest Expense		17	Fixed asset turnover ratio