Considered Alone, Which of the Following Would Increase a Company's

question 50

Multiple Choice

Considered alone, which of the following would increase a company's current ratio?

• A) An increase in accounts payable.
• B) An increase in net fixed assets.
• C) An increase in accrued liabilities.
• D) An increase in notes payable.
• E) An increase in accounts receivable.

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Definitions:

Condominium

A type of real estate owned individually, with shared areas co-owned and maintained by an association of owners.

Identical House

A conceptual term often used in real estate to describe homes that are exactly the same in design, size, and features for comparative purposes.

Loss Aversion

A psychological phenomenon where individuals prefer avoiding losses to acquiring equivalent gains, indicating a greater sensitivity to losses than to gains.

Savings Increase

A rise in the amount of money set aside for future use, typically in a deposit account or investment vehicle.