CAPE Management of Business Unit 1 · 2009 · Paper 2 · Question 6(b)(i)
Outline the MAIN difference between a performance ratio and a liquidity ratio.
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Practise this questionOther parts of this question
- 6(a)Identify the appropriate balance sheet sub-heading under which EACH of the five omitted items would be classified.[5 marks]
- 6(b)(ii)Identify ONE stakeholder who would be interested in EACH type of ratio.[2 marks]
- 6(c)(i)Calculate the Current Ratio for Eastwood Hardware Ltd. and explain its implication.[5 marks]
- 6(c)(ii)Calculate the Acid Test Ratio for Eastwood Hardware Ltd. and explain its implication.[5 marks]
- 6(c)(iii)Calculate the Gearing Ratio for Eastwood Hardware Ltd. and explain its implication.[5 marks]
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