A Liquidity Ratio Measures the

question 54

Multiple Choice

A liquidity ratio measures the

• A)income or operating success of a company over a period of time.
• B)ability of a company to survive over a long period of time.
• C)short-term ability of a company to pay its maturing obligations and to meet unexpected needs for cash.
• D)percentage of total financing provided by creditors.

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Definitions:

Untrained Workforce

A group of employees who have not received formal instruction or skills development related to their job functions.

Permissiveness

A parenting or leadership style characterized by the allowance of freedom of behavior and self-expression, often with minimal control or restrictions.

Rigidity

The lack of flexibility or adaptability in thinking, systems, or physical objects.

Discipline

The practice of training oneself or others to obey rules or norms by using a system of rewards and punishments.