The Untrue Statement Concerning Liabilities Is

question 1

Multiple Choice

The untrue statement concerning liabilities is:

• A)Borrowing to finance assets provides the potential for greater returns for owners but also means greater risk
• B)The absolute value of liquidity ratios is usually more important than their trend over time.
• C)A difference between an accounts payable and a bills payable is that the liability created with a bills payable is evidenced by a bills payable or a promissory note.
• D)Leverage is the use of borrowed funds in an attempt to earn a return greater than the interest paid on the borrowings

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Definitions:

Nuclear Membranes

The double-layered membrane surrounding a cell's nucleus, controlling the passage of substances in and out of the nucleus.

Cytoplasm

The jelly-like substance within a cell, excluding the nucleus, that contains organelles and is the site of most cellular processes.

Food And Drug Administration

A federal agency of the United States responsible for regulating and supervising the safety of foods, dietary supplements, drugs, cosmetics, and medical devices.

Positively Charged Particle

An atom or molecule with more protons than electrons, giving it a net positive charge.