AFP
CTP · Question #731
(Topic 8) Financial ratios may provide an inaccurate forecast of a company's performance because
The correct answer is D. based on snapshots of the company's activity. See the full explanation below for the reasoning.
Question
- (Topic 8)
Financial ratios may provide an inaccurate forecast of a company's performance because
Options
- Adifficult to incorporate into statistical forecasting.
- Beconomic rather than accounting values.
- Csensitive to seasonal cash flows.
- Dbased on snapshots of the company's activity.
How the community answered
(23 responses)- A4% (1)
- B17% (4)
- C4% (1)
- D74% (17)
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