Oglethorpe Company Reports the Following Information from the Vertical Analysis

question 143

Multiple Choice

Oglethorpe Company reports the following information from the vertical analysis of their balance sheet:
Current assets:
23.5 % in 2014
23.9% in 2013
Which of the following statements could be logically concluded from the above data?

• A) The company's current ratio declined.
• B) The company's current assets declined in proportion to its total assets.
• C) The company's ability to pay current liabilities declined.
• D) The company's total current assets declined by 0.4%.

Gain knowledge on the specifics of patents, copyrights, and trademarks, including the process for obtaining them and their impact on business and innovation.

Understand the elements and conditions necessary for a binding contract and the consequences of breach of contract.

Understand the key trends and growth patterns in small businesses from 1980 to 2003.

Identify the most suitable types of bankruptcy filings for different business scenarios.

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Definitions:

Service Departments

Units within an organization that support other departments but do not directly contribute to profit, such as human resources and maintenance.

Investment Turnover

A measure of a company's ability to use its assets to generate sales or revenue, indicating how efficiently the investments are being used.

Activity Base

A measure used as a basis for allocating costs in activity-based costing, relating costs to the activities that drive the need for those costs.

Revenue

The total amount of income generated by the sale of goods or services related to a company's main operations.