Which of the Following Would NOT Be Included in the Numerator

question 97

Multiple Choice

Which of the following would NOT be included in the numerator of the acid-test ratio?

• A)Accounts receivable
• B)Cash-equivalents
• C)Inventories
• D)Short-term investments

Familiarize with the sources of law that interpret sales contracts under the UCC.

Understand the risk of loss provisions, including specific shipping terms like "ex-ship."

Learn about the sections and articles within the UCC, especially those governing sales contracts.

Recognize the application of common law and UCC rules in sales contracts, including concepts of insurable interest and unconscionability.

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Definitions:

Post Reference Notation

A notation in a ledger to indicate the source of each entry, facilitating the traceability and verification of transactions.

Ledger

A book or electronic record used to record all of a company's financial transactions in accounts.

Ledger

A book or collection of financial accounts where transactions are recorded, typically categorized by type.

Journal

A book or digital record where all financial transactions are initially recorded, also known as the book of first entry.