Which of the Following Situations Will Improve the Current Ratio

question 90

Multiple Choice

Which of the following situations will improve the current ratio if it is initially less than 1.0?

• A) Using cash to repay accounts payable
• B) Purchasing inventory on credit terms
• C) Selling finished goods inventory on credit
• D) Purchasing marketable securities for cash

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Definitions:

Genocide

The intentional extermination of an entire population defined as a “race” or a “people.”

Ethnic Population

Refers to a group of people who share a common cultural background, heritage, language, or religion, distinctively different from other groups.

Extermination

The act of completely destroying or eradicating something or the mass killing of people, typically in the context of genocide or warfare.

Internal Colonialism

A concept explaining how a country's dominant group exploits minority groups for economic gain, mimicking the power dynamics of traditional colonialism.