Which of the Ratios Listed Helps to Indicate the Ability

question 13

Multiple Choice

Which of the ratios listed helps to indicate the ability of the company to meet its current obligations?

• A) Current ratio
• B) Profit margin
• C) Debt-to-equity
• D) Return on assets

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Definitions:

Group Polarization

The tendency for a group to make decisions that are more extreme than the initial inclination of its members.

Deindividuation

A psychological state where an individual loses self-awareness and a sense of individuality, often leading to uncharacteristic behavior, usually in group contexts.

Social Loafing

A scenario where members of a group display reduced effort in reaching a target compared to their effort levels when working solo.

Group Polarization

The phenomenon where a group's prevailing attitudes or beliefs become more extreme following group discussions.