The ________, a More Stringent Measure Than the Current Ratio

question 39

Multiple Choice

The ________, a more stringent measure than the current ratio, measures a company's ability to pay its current liabilities.

• A)debt ratio
• B)equity ratio
• C)acid-test ratio
• D)days' sales in receivables

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Definitions:

Government Bond

A debt security issued by a government to support government spending and obligations, typically offering a fixed rate of return.

Money Supply

The comprehensive amount of money assets found in an economy at a noted time.

Checking Accounts

Bank accounts that allow for both deposits and withdrawals, enabling easy access for daily transactions.

Government Bond

A debt security issued by a government to support government spending and obligations, offering a fixed rate of interest over a period of time.