Which One of the Following Statements Concerning Liquidity Is Correct

question 47

Multiple Choice

Which one of the following statements concerning liquidity is correct?

• A)Fixed assets are more liquid than current assets.
• B)Balance sheet accounts are listed in order of decreasing liquidity.
• C)Liquid assets tend to be highly profitable.
• D)The less liquidity a firm has,the lower the probability the firm will encounter financial difficulties.
• E)Trademarks and patents are highly liquid.

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Definitions:

Persistent

describes a trait or behavior characterized by continuing firmly or obstinately in an action or belief, often despite difficulty or opposition.

Performance Reviews

The formal assessment and evaluation of an employee's job performance over a specific period, often used to guide future development.

Specific Instructions

Detailed information or orders on how to perform a task or complete a process.

Sustainable Development

Development that meets the needs of the present without compromising the ability of future generations to meet their own needs, emphasizing environmental, social, and economic sustainability.