Which of the Following Would Generally Indicate an Improvement in a Company's

question 76

Multiple Choice

Which of the following would generally indicate an improvement in a company's financial position,holding other things constant?

• A) The TIE declines.
• B) The DSO increases.
• C) The quick ratio increases.
• D) The current ratio declines.
• E) The total assets turnover decreases.

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Definitions:

Automatic

Referring to processes or behaviors that occur spontaneously, without conscious thought or intention.

Satiety Signals

Internal chemical signals, such as those from hormones, that indicate fullness and reduce the desire to eat.

Pancreas

An organ in the abdominal cavity that plays a role in both digestion and regulation of blood sugar through the secretion of digestive enzymes and insulin.

Gall Bladder

A small organ beneath the liver that stores and concentrates bile, a fluid that helps digest fats.