If a Company Has a Liquid Ratio of 0

question 106

Multiple Choice

If a company has a liquid ratio of 0.9,in order to improve its liquid ratio it might:

• A) increase its current assets by increasing its inventory.
• B) use more short-term debt to decrease current liabilities.
• C) increase its large amounts of accounts receivable to improve its cash position.
• D) increase its large amount of accounts to pay to decrease its current liabilities.

---

Definitions:

Top

The highest point, position, or part of something, or a command to navigate or display the starting entries in a list or data set.

Ribbon

A graphical control element in software that organizes command buttons into a series of tabs at the top of the window.

Formatting

The process of applying styles and visual attributes to text and other elements in a document, such as font size, color, and alignment.

Custom Dictionaries

User-defined lists of words added to a spell-checker to customize the checking process for names, technical terms, or other unique words.