A Company's Current Ratio Is 2

question 48

Multiple Choice

A company's current ratio is 2.0. Which of the following actions would lower the current ratio, assuming everything else remains the same?

• A) Borrow using short-term notes payable and use the proceeds to reduce accruals.
• B) Borrow using short-term notes payable and use the proceeds to reduce long-term debt.
• C) Use cash to reduce accruals.
• D) Use cash to reduce accounts payable.

Analyze the impact of governmental policies on consumer behavior and market outcomes.

Explain the principle of diminishing marginal utility and its implications on consumer choices.

Interpret budget line shifts and their implications on consumer equilibrium in graphical analyses.

Describe the relationship between marginal utility, demand, and consumer choices.

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Definitions:

Individual Therapy

A form of psychotherapy where one-on-one sessions between a therapist and a client focus on the client's issues and ways to resolve them.

Social Functioning

Social functioning refers to an individual's ability to perform and fulfill expected roles within society, through interpersonal relationships, work, and social activities.

Psychoanalysis

A therapeutic approach developed by Sigmund Freud that seeks to explore the unconscious mind's influence on behavior through techniques like dream interpretation and free association.

Systematic Desensitization

A behavioral therapy technique used to help individuals overcome phobias and anxiety disorders by gradually exposing them to the feared object or situation in a controlled manner.