A firm uses 2011 as the base year for its financial statements. The common-size, base-year statement for 2012 has an inventory value of 1.08

On a common-base year financial statement, accounts receivables will be expressed relative to which one of the following?    A.  current year sales B.  current year total assets C.  base-year sales D.  base-year total assets E.  base-year accounts receivables

18.

A firm uses 2011 as the base year for its financial statements. The common-size, base-year statement for 2012 has an inventory value of 1.08. This is interpreted to mean that the 2012 inventory is equal to 108 percent of which one of the following?    A.  2011 inventory B.  2011 total assets C.  2012 total assets D.  2011 inventory expressed as a percent of 2011 total assets E.  2012 inventory expressed as a percent of 2012 total assets

19.	Which of the following ratios are measures of a firm's liquidity? I. cash coverage ratio II. interval measure III. debt-equity ratio IV. quick ratio    A.  I and III only B.  II and IV only C.  I, III, and IV only D.  I, II, and III only E.  I, II, III, and IV

20.

An increase in current liabilities will have which one of the following effects, all else held constant? Assume all ratios have positive values.    A.  increase in the cash ratio B.  increase in the net working capital to total assets ratio C.  decrease in the quick ratio D.  decrease in the cash coverage ratio E.  increase in the current ratio

21.	An increase in which one of the following will increase a firm's quick ratio without affecting its cash ratio?    A.  accounts payable B.  cash C.  inventory D.  accounts receivable E.  fixed assets