Which of the Following Is the Correct Formula for Calculating

question 4

Multiple Choice

Which of the following is the correct formula for calculating the cash ratio?

• A)Cash ratio = (Cash + Bank)÷ Total liabilities
• B)Cash ratio = (Cash + Cash equivalents)÷ Total current liabilities
• C)Cash ratio = (Cash + Cash equivalents)÷ Total assets
• D)Cash ratio = (Bank + Cash equivalents)÷ Total current liabilities

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Definitions:

Executable Program

A type of computer file that is able to be run as a program, containing code that the computer's operating system can execute.

Algorithm

A finite sequence of well-defined, computer-implementable instructions, typically to solve a class of problems or perform a computation.

Procedure

A block of code within a program that performs a specific task and is identified by a name.

Opcode

Short for "operation code," it represents the portion of a machine language instruction that specifies the operation to be performed.