Which of the Following Is Included in the Numerator of the Acid-Test

question 85

Multiple Choice

Which of the following is included in the numerator of the acid-test ratio?

• A) cash including cash equivalents, inventory, short-term investments, net current receivables
• B) accounts receivable and inventory
• C) cash including cash equivalents, short-term investments, net current receivables
• D) total current assets

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Definitions:

Deceptive Advertising

Advertising that misleads consumers, either by making unjustified claims about a product’s performance or by omitting a material fact concerning the product’s composition or performance.

Scientific Evidence

Information obtained through scientific methods that are used to support or refute a hypothesis, theory, or claim.

Marketing Claims

Statements made by companies about their products or services intended to attract consumers.

Deceptive Advertising

Marketing practices involving false claims or misleading statements to trick consumers into buying a product or service.