The Current Ratio Measures a Company's ________

question 78

Multiple Choice

The current ratio measures a company's ________.

• A) overall ability to pay liabilities
• B) ability to pay current liabilities from current assets
• C) proportion of assets that are financed by debt
• D) rate of cash flow

Identify wordy and trite sentences.

Select sentences that use concise, fresh language.

Choose vivid and exact words to complete sentences.

Distinguish between specific and general statements in sentence construction.

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Definitions:

Negotiated Contracts

Legal agreements formed through the process of discussion and compromise between two or more parties, often relating to employment or services.

Unionists

Individuals or members of a labor union representing workers' interests.

Productivity

The measure of the efficiency of a person, machine, factory, system, etc., in converting inputs into useful outputs.

Efficiency

The ratio of useful output to total input, referring to the effective use of resources without waste.