Luther Corporation Consolidated Balance Sheet 30 June 2017 and 2018

question 77

Multiple Choice

Luther Corporation Consolidated Balance Sheet 30 June 2017 and 2018 (in $ millions)

-Refer to the balance sheet above. The change in Luther's quick ratio from 2017 to 2018 is closest to:

• A)an increase of 0.10
• B)an increase of 0.15
• C)a decrease of 0.15
• D)a decrease of 0.10

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Definitions:

Compounded Semi-annually

Involves calculating and adding interest to the principal amount of an investment or loan twice per year, leading to compound growth over time.

Semi-annual Withdrawals

Withdrawals made twice a year from an account or investment.

Compounded Annually

The method of calculating interest in which the interest earned each year is added to the principal, so that the balance doesn't merely grow, it grows at an increasing rate.

Monthly Payments

Regular payments made each month towards the repayment of a loan or financial obligation.