A Corporation Wants to Increase Its Current Ratio from Its

question 24

Multiple Choice

A Corporation wants to increase its current ratio from its present level of 1.2 before it ends the fiscal year. The action having the desired effect is:

• A) delaying the next payroll.
• B) writing down impaired assets.
• C) selling furniture for cash.
• D) selling current marketable securities at cash for their book value.

---

Definitions:

Replacement Level

The fertility rate required for a population to replace itself from one generation to the next without migration, typically quantified as 2.1 children per woman in most developed countries.

Fertility

The natural capability of giving life, often measured by the ability to conceive and bear offspring.

American Woman

Could refer to a female citizen or resident of the United States, or to cultural, social, or political aspects related to American women.

Parenthood

The state or responsibilities of being a parent, including the care, education, and nurturing of children.