Indicate Whether Each of the Actions Listed Below Will Immediately

question 39

Essay

Indicate whether each of the actions listed below will immediately increase (I), decrease (D), or have no effect (N) on the ratios shown. Assume each ratio is greater than 1.0 before the action is taken.
- $\begin{array}{lccc}& \text { Current ratio } & \text { Acid-test ratio } & \text { Total debt-to-equity ratio } \\\text { Record annual depreciation on office } \\\text { equipment } \end{array}$

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Definitions:

Organogenesis

The process during embryonic development where organs form and develop from three germ layers: the endoderm, mesoderm, and ectoderm.

Embryonic Development

The process by which an embryo forms and develops, from fertilization of the ovum to the fetus stage.

Primitive Groove

A feature seen in the early embryonic stage of some animals, marking the beginning of the development of the central nervous system.

Organogenesis

Organogenesis is the process during embryonic development in which organs are formed from the three primary germ layers: the ectoderm, mesoderm, and endoderm.