A Quick Ratio Much Smaller Than the Current Ratio Reflects

question 14

Multiple Choice

A quick ratio much smaller than the current ratio reflects:

• A) a small portion of current assets is in inventory.
• B) a large portion of current assets is in inventory.
• C) that the firm will have a high inventory turnover.
• D) that the firm will have a high return on assets.

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Definitions:

Employee Selection

The process of interviewing and evaluating candidates for a specific job and choosing the most suitable one.

Performance Appraisal

A systematic evaluation of an employee's job performance and productivity.

Early Retirement Incentive Program

A program that offers workers financial incentives to retire early.

Financial Incentives

Monetary rewards offered to workers or organizations to improve their performance and productivity.