If the Acid-Test Ratio Is Less Than One, Then Paying

question 165

True/False

If the acid-test ratio is less than one, then paying off some current liabilities with cash will increase the acid-test (quick) ratio.

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Definitions:

Human Rights

The basic rights and freedoms that belong to every person in the world, from birth until death.

Reagan Revolution

The rightward turn of American politics following the 1980 election of Ronald Reagan. The Reagan Revolution made individual “freedom” a rallying cry for the right.

Government Programs

Initiatives sponsored by governmental bodies designed to address social, economic, health, or environmental issues, by providing services, funding, or regulations.

Equal Rights Amendment

Amendment to guarantee equal rights for women, introduced in 1923 butnot passed by Congress until 1972; it failed to be ratified by the states.