Which of the Following Are Measures of Liquidity

question 61

Multiple Choice

Which of the following are measures of liquidity?
I. net working capital
II. net profit margin
III. current ratio
IV. times interest earned

• A) I and III only
• B) I, II and III only
• C) I, II and IV only
• D) I, III and IV only

---

Definitions:

Nominal

A type of data that represents categories without any intrinsic order or ranking among them.

Level Of Measurement

Refers to the different ways in which variables or data points can be quantitatively and qualitatively categorized.

Frequency Distribution

An overview or tabulation of a dataset that shows the number of individuals or occurrences in each non-overlapping category or class range.

Sample

A subset of individuals or observations selected from a population for the purpose of analysis.