The Acid-Test Ratio

question 42

Multiple Choice

The acid-test ratio

• A) is a quick calculation of an approximation of the current ratio.
• B) does not include all current liabilities in the calculation.
• C) does not include inventory as part of the numerator.
• D) does include prepaid expenses as part of the numerator.

---

Definitions:

Collecting Duct

A network of tubules and ducts in the kidney that is involved in the process of concentrating urine and transporting it to the renal pelvis.

Glomerulus

A network of tiny blood vessels located at the beginning of a nephron in the kidney, where blood filtration takes place.

Urethra

A tube that connects the urinary bladder to the urinary meatus for the removal of fluids from the body.

Ureters

Tubes that carry urine from the kidneys to the bladder, playing a crucial role in the urinary system.