Which of the Following Ratios Would Be Useful in Assessing

question 18

Multiple Choice

Which of the following ratios would be useful in assessing short-term liquidity?

• A) Current ratio, inventory turnover, fixed asset turnover.
• B) Quick ratio, average collection period, cash conversion cycle.
• C) Average collection period, debt ratio, return on assets.
• D) Current ratio, cash interest coverage, cash-flow liquidity ratio.

---

Definitions:

Univariate ANOVA

A statistical test used to compare the means of three or more unrelated groups on a single quantitative dependent variable.

Dependent Variable

The variable in an experiment that is expected to change as a result of manipulations to the independent variable(s).

One-Way ANOVA

A statistical test that determines whether there are statistically significant differences between the means of three or more unrelated groups.

Treatment

A specific condition or intervention applied in a research study to observe its effects on an outcome of interest.