Answer:
the acid test ratio is 0.7 times
Explanation:
The computation of the acid test ratio is shown below;
Acid test ratio is
= Quick assets ÷ current liabilities
= (Cash + marketable securities + account receivable) ÷ current liabilities
= ($37,000 + $39,000 + $97,600) ÷ ($248,000)
= 0.7
Hence, the acid test ratio is 0.7 times
This is the answer but the same is not provided in the given options
Certification of Deposit (CD ) pays the same interest as Savings Account. And Money Market Account has higher interest rate. Checking account pays little or no interest. So for Jorge is the best option to use:
B ) Money Market Account.
Answer:
The correct answer is option A.
Explanation:
The average cost of production for a bottle of vitamin water in the industry is $4 while its average price is $7.
StoreAll Inc. manufactures the same product for $3 per bottle and sells it for $7 per bottle.
The store Inc manufacturers is able to produce at a lower cost than the other firms. This implies that it has a competitive advantage in the production of mineral water.
Competitive advantage refers to the conditions that help a firm outperform its competitors.
Answer:
A. Reverse logistics systems are usually less cost- efficient than forward-based systems.
Explanation:
Reverse logistics is linked to the reuse of goods and services for all activities, this includes the management and the sale of surplus. Reverse logistics is the distribution of purchased products back into the business in the reverse direction of business process flow.
Reverse logistics systems are usually less cost- efficient than forward-based systems. Reverse logisticsprovides companies with revenues and strategic benefits.
Answer: E) A's expected dividend is $0.75 and B's expected dividend is $1.20
Explanation:
Using the Gordon growth model, you can calculate the expected dividend. The formula is:
Price = Expected dividend/ (expected return - expected growth)
Stock A expected dividend
25 = D/ (10% - 7%)
D = 25 * 3%
= $0.75
Stock B expected divided
40 = D / (12% - 9%)
D = 40 * 3%
= $1.20
Option A, C and B are therefore wrong.
Option E is correct.
