Fullerton Co

question 91

Multiple Choice

Fullerton Co.has the following information from its accounting records: If Fullerton uses cash of $10,000 to pay a current liability,its:

• A)current ratio increases and its debt-to-assets ratio increases.
• B)current ratio increases and its debt-to-assets ratio decreases.
• C)current ratio decreases and its debt-to-assets ratio increases.
• D)current ratio decreases and its debt-to-assets ratio decreases.

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Definitions:

Logical-mathematical Intelligence

One of Howard Gardner's multiple intelligences, highlighting the capacity to understand logical reasoning and mathematical concepts.

Sequential Order

The arrangement of objects, events, or ideas in a linear or logical sequence, one following the other.

Abstract Thinking

The ability to think about objects, principles, and ideas that are not physically present.

Civility

The act of showing respect towards others and engaging in polite and socially acceptable behavior.