Strategies to Increase the Current Ratio May Include

question 83

Multiple Choice

Strategies to increase the current ratio may include:

• A) increasing sales.
• B) paying off current liabilities before the end of the year.
• C) the questionable practice of reclassifying long-term investments as short-term investments.
• D) all of the above.

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Definitions:

William McDougall

A British psychologist and one of the founding figures of social psychology, known for his work on instinct and the social nature of human beings.

Instincts

are innate, typically fixed patterns of behavior in animals and humans that are responses to specific stimuli and serve survival and reproductive purposes.

Cognition

Refers to the mental processes involved in gaining knowledge and comprehension, including thinking, knowing, remembering, judging, and problem-solving.

Seligman

Refers to Martin Seligman, a psychologist known for his work on the theory of learned helplessness and for promoting positive psychology.