Which of the Following Could Explain a Substantial Increase in the Current

question 21

Multiple Choice

Which of the following could explain a substantial increase in the current ratio (presently 1:1) ?

• A) Purchase of inventory for cash
• B) Sale of a major noncurrent asset near year-end
• C) A large prepayment near year-end
• D) A cash deposit received for work to be done next year

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Definitions:

Frequency

The number of complete wavelengths that pass a point in a given time (for example, per second).

Intensity

The magnitude or strength of a stimulus or action, often influencing its perceived importance or impact.

Taste Buds

Sensory organs located on the tongue that allow us to experience tastes, such as sweet, salty, sour, bitter, and umami.

Taste Thresholds

The minimum amount of a substance required for its taste to be recognized.