What Is a COLA

question 78

Multiple Choice

What is a COLA?

• A) A measure of the quality of living
• B) A consumer price adjustment
• C) An increase in wages to match consumer price increases
• D) Another name for a price index
• E) The brand name of a soft drink

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Definitions:

Quality Of Income Ratio

A ratio that measures the proportion of income generated from the core operations of a business.

Operating Assets

Assets used by a company in its daily operations to generate income, including machinery, buildings, and equipment.

Revenue Recognition

The accounting principle that determines the specific conditions under which income becomes realized or earned as revenue.

Quality Of Income Ratio

A financial metric assessing the proportion of income that is realized in cash, indicating the reliability of reported earnings.