Which of the Following Actions Will Increase a Company's Quick

question 35

Multiple Choice

Which of the following actions will increase a company's quick ratio?

• A) Reduce inventories and use the proceeds to reduce long-term debt.
• B) Reduce inventories and use the proceeds to reduce current liabilities.
• C) Issue short-term debt and use the proceeds to purchase inventory.
• D) Issue long-term debt and use the proceeds to purchase fixed assets.
• E) Issue equity and use the proceeds to purchase inventory.

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Definitions:

Chemical Bonds

Strong interactions between atoms or ions that hold molecules together, including covalent, ionic, and metallic bonds.

Reactants

Substances initially present in a chemical reaction that are consumed during the reaction to make products.

Products

Substances that are formed as a result of a chemical reaction.

Energy Factor

A term that could relate to various contexts, but generally refers to a measure or element that significantly influences the energy efficiency or energy required for processes or systems.