Numerical Data Interpreting Flashcards

(3 cards)

1
Q

Acid test
What is bad?
What does this mean?

A

Below 0.7:1

Have to pay interest before can have money to self

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2
Q

Gearing
Why is bad?
Why?

A

More than 50%

Have to pay interest

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3
Q

Asset turnover

Higher or lower better?

A

Higher

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