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After reading the paragraph below, answer the questions that follow.
As a scientist employed by the FDA, you've been asked to sit on a panel to evaluate a pharmaceutical company's application for approval of a new weight loss drug called Fat Away. The company has submitted a report summarizing the results of their animal and human testing. In the report, it was noted that Fat Away works by affecting the electron transport chain. It decreases the synthesis of ATP by making the mitochondrial membrane permeable to H⁺, which allows H⁺ to leak from the intermembrane space to the mitochondrial matrix. This effect leads to weight loss.
-Fat Away prevents ATP from being made by
Cash Ratio
A liquidity metric that measures a company’s ability to cover its short-term liabilities with its cash and cash equivalents.
Current Ratio
A measure of a business's capability to settle short-term debts, calculated as the ratio of current assets to current liabilities.
Cash Equivalents
Liquid assets that can be quickly turned into a specific amount of cash and have initial maturity times of no more than three months.
Cash Ratio
A financial ratio indicating how well a company can cover its short-term obligations using its liquid assets.
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