Which of the Following Would Improve a Current Ratio That

question 42

Multiple Choice

Which of the following would improve a current ratio that is now 1.2?

• A)Selling long-term assets for cash.
• B)Purchasing land for cash.
• C)Buying equipment in exchange for a two-year note.
• D)Purchasing inventory on account.

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Definitions:

Competing Organizations

Entities that are in direct rivalry, offering similar goods or services within the same market.

Performance Expectations

The standards or benchmarks set for employees' work output and behavior in the workplace.

Behavioural Self-management

The process of controlling one’s actions or behavior through a self-imposed system of rewards and penalties.

Expectancy Theory

A motivation theory suggesting that individuals are more likely to perform actions if they expect that their actions will lead to desirable outcomes.