Which of the Following Is False

question 33

Multiple Choice

Which of the following is false?

• A)The cash ratio is the most stringent and reliable test of liquidity.
• B)A company with a high level of inventory will have a quick ratio significantly lower than its current ratio.
• C)A current ratio that is too high could indicate funds tied up in inventory and other working capital assets.
• D)Analysts consider a current ratio of 2 to be financially conservative.

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Definitions:

Subcortical Structures

Components of the brain located below the cerebral cortex, involved in various functions including emotion, movement, and memory.

Limbic System

A complex system of nerves and networks in the brain, involved in the control of basic emotions and drives, such as fear, pleasure, and anger.

Thalamus

Structure of the brain that directs incoming information from sense receptors (such as vision and hearing) to the cerebrum.

Psychological Approach

Approach to abnormality that focuses on personality, behavior, and ways of thinking as possible causes of abnormality.