A Short-Term Liability Used by a Company to Finance the Purchase

question 42

Multiple Choice

A short-term liability used by a company to finance the purchase of current assets and that is often secured by accounts receivable or inventory is referred to as an) :

• A)accounts payable.
• B)current liability.
• C)line of credit.
• D)overdraft protection.

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Definitions:

Probability

A measure of the likelihood or chance that a particular event will occur.

Familywise Error

The probability of making one or more false discoveries, or Type I errors when performing multiple hypotheses tests.

Scheffé Test

The Scheffé test is a post-hoc statistical analysis method used to identify differences among means in a set of groups, following an ANOVA.

Dunnett Test

Statistical procedure used to control familywise error when comparing each group with a single reference group.