In 2013, C Co

question 3

Multiple Choice

In 2013, C Co. reported a quality of earnings ratio of 1.60. In 2012 and 2011 the ratio was .97 and .98 respectively. Which of the following was the most likely cause of the large increase in the ratio?

• A) An increase in trade payables and accrued liabilities.
• B) An increase in current assets such as receivables and inventory.
• C) An increase in sales revenue while net earnings remained the same.
• D) A decrease in expense while net earnings remained the same.

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Definitions:

Sexual Orientation

Sexual orientation denotes an enduring pattern of emotional, romantic, and/or sexual attractions to men, women, or both sexes.

Gay

A term used to describe individuals who are emotionally, romantically, or sexually attracted to members of the same sex.

Lesbian

A female who feels emotional, romantic, or sexual attraction towards other females.

Self-Worth

The sense of one's own value or worth as a person; an important aspect of individual psychological health.