Which of the Following Is an Example of Liquidity Analysis

question 99

Multiple Choice

Which of the following is an example of liquidity analysis?

• A)Bonds payable are divided by total liabilities and stockholders' equity.
• B)Net income is divided by total assets.
• C)Net income is divided by the number of shares of stock outstanding
• D)Current assets are divided by current liabilities.

---

Definitions:

Opportunity Cost

The cost of missing out on the next best alternative when making a decision.

Present Value

The current value of a future sum of money or stream of cash flows, given a specified rate of return.

Network Design

The planning and optimization of a network's physical, financial, and operational capacities to achieve desired objectives.

Marginal Benefit

The additional satisfaction or utility a consumer receives from consuming one more unit of a good or service.