A Liquidity Ratio Measures the

question 106

Multiple Choice

A liquidity ratio measures the

• A) income or operating success of an enterprise over a period of time.
• B) ability of the enterprise to survive over a long period of time.
• C) short-term ability of the enterprise to pay its maturing obligations and to meet unexpected needs for cash.
• D) number of times interest is earned.

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Definitions:

Average Age

It represents the central value of age data points in a set, providing a typical age around which individual ages are distributed.

Fiber-optic

Refers to the technology that uses thin, flexible fibers of glass or other transparent solids to transmit light signals for telecommunications or lighting.

Ethernet Cables

Cabling technology used for connecting devices in a wired local area network (LAN) or wide area network (WAN).

Sample

A subset of individuals or objects collected from a larger population, used for statistical analysis or quality assurance.