Which of the Following Ratios Indicates That Liquid Assets Are

question 66

Multiple Choice

Which of the following ratios indicates that liquid assets are available to pay current liabilities for a household?

• A) Debt ratio
• B) Current ratio
• C) Liquidity ratio
• D) Debt payments ratio
• E) Savings ratio

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Definitions:

Formal

Pertaining to or following established traditions, rules, or conventions, often in an official or professional context.

Network Organizations

are structured around networks rather than traditional hierarchies, emphasizing informal communication, flexibility, and decentralized decision-making.

Virtual Organizations

A business model where an organization operates and coordinates its activities primarily through digital and telecommunication networks rather than in a physical space.

Functional Conflict

A productive form of conflict that aims to improve group performance by encouraging different opinions and critical thinking.