A Cash Ratio Below 1

question 160

True/False

A cash ratio below 1.0 implies that the company has an insufficient amount of cash and cash equivalents to pay current liabilities.

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Definitions:

Practice Time

The period dedicated to rehearsing or exercising skills in order to improve proficiency.

Decibel

A unit of measurement used to express the intensity of sound, with each ten-decibel increase representing a tenfold increase in sound intensity.

Snail-Shaped Tube

Refers to the cochlea in the inner ear, which plays a key role in the process of hearing by converting sound waves into neural signals.

Vestibular Sacs

Part of the inner ear involved in balance, specifically in detecting changes in the position of the head with respect to gravity.