All of the Following Are Red Flags That a Company

question 106

Multiple Choice

All of the following are red flags that a company is in financial trouble except

• A)Buildup of inventories
• B)A current ratio close to 2.0
• C)Too much debt
• D)Decreased cash flow

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Definitions:

Neutrons

Subatomic particles located within the nucleus of an atom, having no electric charge and a mass slightly larger than that of protons.

Electronic Charge

A fundamental property of electrons that is responsible for electrical interactions, characterized by a negative value and measured in coulombs.

Synergistic Interaction

A situation where the combined effect of two or more factors exceeds the sum of their individual effects.

Hydrogen Bonds

A weak bond between two molecules resulting from an electrostatic attraction between a proton in one molecule and an electronegative atom in the other.