The Number of Days Required Per Audit for 100 Recent

question 89

Multiple Choice

The number of days required per audit for 100 recent audits conducted by the IRS office in Cincinnati is shown in the relative frequency table below.Determine the median number of required auditors per job.

• A)3
• B)1
• C)2.5
• D)1.5

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Definitions:

Liquidity Ratios

Financial metrics used to determine an entity's ability to pay off its short-term debts obligations.

Profitability Ratios

Financial metrics used to assess a business's ability to generate earnings relative to its revenue, assets, equity, or other financial metrics.

Solvency Ratios

Financial ratios used to assess a company's ability to meet its long-term debts and obligations, indicating financial health and stability.

Liquidity Ratio

A financial metric that measures a company's ability to pay off its short-term liabilities with its short-term assets.