Which four sample ratios can be created during the application creation process?

Prepare for the Oracle FCC Certification Exam with flashcards and multiple choice questions. Each question includes hints and explanations. Ensure exam success!

During the application creation process in Oracle Financial Consolidation and Close (FCC), various financial ratios can be generated to analyze and interpret financial data effectively. The focus here is on sample ratios that are commonly utilized in financial analysis.

Inventory Ratios fall under the category of operational efficiency metrics. They help assess how effectively a company manages its inventory levels and turnover. This type of ratio is crucial for businesses that rely heavily on physical goods, as it provides insights into inventory management efficacy and its impact on liquidity and profitability.

Contribution Margin is another critical financial metric that illustrates the portion of sales revenue that exceeds total variable costs. This ratio is significant for determining how much revenue is available to cover fixed costs and generate profit, making it particularly relevant in the context of product lines or business segments.

Debt Ratio measures the proportion of a company's assets that are financed by liabilities, offering insights into the company’s financial leverage and risk. This ratio is essential for stakeholders to understand the degree of financial risk the company is assuming, which is integral during financial consolidations.

Earnings per Share (EPS) focuses on the profitability of a company on a per-share basis. Although EPS is a key metric in financial reporting and is vital for stakeholders, it is not typically categorized as a sample ratio

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