Match Each of the Following Items with the Term or Phrase

question 198

Multiple Choice

Match each of the following items with the term or phrase (a-g) that best describes it. Terms or phrases may be used more than once.
-(Cash + Temporary investments + Accounts receivable) /Current liabilities

• A)Current ratio
• B)Working capital
• C)Quick assets
• D)Quick ratio
• E)Record an accrual and disclose in the notes to the financial statements
• F)Disclose only in notes to financial statements
• G)No disclosure needed in notes to financial statements

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Definitions:

Corporate Form

A legal structure for a business recognized by law as a separate legal entity from its owners, with its own rights and liabilities distinct from those of its owners.

Owner-Operated

Refers to a business where the owner actively manages and operates the company, often involved in daily tasks and decisions.

Portfolio

A collection of investments held by an individual or institution which may include stocks, bonds, real estate, and other assets.

Securities

Financial instruments that hold monetary value, including stocks, bonds, and options, which can be bought and sold.