Frictional Unemployment Refers To

question 46

Multiple Choice

Frictional unemployment refers to:

• A) people who are out of work and have no job skills.
• B) short periods of unemployment needed to match jobs and job seekers.
• C) people who spend relatively long periods out of work.
• D) unemployment related to the ups and downs of the business cycle.

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Definitions:

Times Interest Earned Ratio

A financial metric assessing a company's ability to meet its debt obligations, calculated as earnings before interest and taxes divided by interest expense.

Acid-test Ratio

A liquidity ratio that measures a company’s ability to pay off its current liabilities with quick assets, excluding inventory.

Accounts Receivable Turnover

A financial ratio that measures the efficiency of a company in collecting its receivables or the credit it has extended to customers.

Inventory Turnover

A ratio indicating how many times a company's inventory is sold and replaced over a specific period.