Question 5.KC.3: Of the sources of industry data presented in the manual, the...
Of the sources of industry data presented in the manual, the two sources that not only provide the industry averages, but also provide a “size” breakdown of the averages are
a. “Risk Management and Associates Annual Statement Studies” and “The Almanac of Business and Industrial Financial Ratios.”
b. “Industry Norms and Key Business Ratios” and “Financial Studies of the Small Business.”
c. Business Week and Moody’s.
d. None of the sources provide a size breakdown.
a. Correct. Robert Morris and Associates Annual Statement Studies and The Almanac of Business and Industrial Financial Ratios each provide the industry averages and a “size” breakdown of the averages.
b. Incorrect. This is not correct because Industry Norms and Key Business Ratios and Financial Studies of the Small Business do not provide a size breakdown of the ratios.
c. Incorrect. These two sources do not generally provide ratio averages with a size breakdown.
d. Incorrect. Robert Morris and Associates Annual Statement Studies and The Almanac of Business and Industrial Financial Ratios each provide the industry averages and a “size” breakdown of the averages.