The Acid-Test Ratio Is

question 67

Multiple Choice

The acid-test ratio is

• A)Current assets divided by current liabilities.
• B)Cash and short-term investments divided by current liabilities.
• C)Cash,short-term investments,and accounts receivable divided by current liabilities.
• D)Cash,short-term investments,accounts receivable,and inventory divided by current liabilities.

---

Definitions:

Iroquois

A historically powerful northeast Native American confederacy, also known as the Haudenosaunee, made up of six nations including the Mohawk, Seneca, Cayuga, Onondaga, Oneida, and Tuscarora.

Patroonship

A grant of land and associated privileges given to wealthy individuals by the Dutch government in the 17th century to promote settlement and economic development in New Netherland (now parts of New York and New Jersey).

New Netherland

A 17th-century colonial province of the Dutch Republic that included parts of what are now the eastern United States.

Agricultural Labor

Work involved in cultivating and harvesting crops and raising animals, often performed by farmworkers and laborers.