Which Statement Is Not Correct

question 43

Multiple Choice

Which statement is not correct?

• A)Low liquidity ratios are not desirable
• B)High liquidity ratios are not necessarily desirable
• C)Low liquidity ratios can indicate liquidity problems
• D)A current ratio of greater than 2:1 means that an entity must have sufficient liquidity to pay its debts as they fall due

---

Definitions:

Organizational Psychologists

Organizational psychologists specialize in studying and applying psychological principles to workplace environments, aiming to improve employee productivity and wellbeing.

User-friendly Industrial Machines

User-friendly industrial machines are devices designed with an emphasis on ease of use, safety, and efficiency, making them accessible to operators with varying levels of expertise.

Directive Style

Relates to a communication or leadership approach where instructions, orders, or directions are given explicitly with clear expectations.

Transformational Leadership

Transformational leadership is a leadership style that inspires positive changes in those who follow, through the leader's vision, enthusiasm, and support.