An Element Is Considered Probable If the Chance of the Flow

question 5

Multiple Choice

An element is considered probable if the chance of the flow associated with it occuring is greater than:

• A) 30%
• B) 50%
• C) 75%
• D) 90%

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Definitions:

Liquidity

A measure of a company's or an individual's ability to meet short-term financial obligations; the ease with which assets can be converted into cash.

Marketability

The ease with which a product or service can be sold or marketed in a particular market.

Profitability

The ability of a company to generate earnings relative to its revenue, assets, or equity over a specific period, indicating its financial health.

Vertical Analysis

A financial method that expresses each item within a financial statement in percentage terms of a base figure for the same time period, facilitating comparison.