The Old-Age Dependency Ratio (OADR) Is Calculated as __________

question 186

Multiple Choice

The old-age dependency ratio (OADR) is calculated as __________.

• A)the number of people ages 65 years or older, divided by the number of people ages 20 to 64, times 100
• B)the number of people ages 20 to 64 years old, divided by the number of people ages 65 or older, times 100
• C)the number of people ages 55 years or older, multiplied by the number of people ages 18 or older, times 50
• D)the number of people ages 55 years or older, added to the number of people ages 21 or older, times 50

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Definitions:

Acid-test Ratio

The acid-test ratio is a financial metric used to assess a company's ability to pay off its short-term liabilities with its most liquid assets, excluding inventory.

Short-term Investments

Financial assets that are expected to be converted into cash or sold within a year or the operating cycle, whichever is longer.

Current Liabilities

Short-term financial obligations that are due to be paid within one year, such as accounts payable, short-term loans, and taxes owed.

Accounts Receivable Turnover

A measure of the liquidity of accounts receivable; computed by dividing net credit sales by average net accounts receivable.