<u>Answer:</u>
Liquidity ratios measure (C) the extent of a firm's financing with debt relative to entity.
<u>Explanation:</u>
Liquidity ratio is used in determining a company's ability to pay off all the current debts without taking or raising any external capital. It measures the company's ability whether the company is able to pay their debts or not through the calculation of "CURRENT RATIO" (It tells the investors how they can maximize the assets to satisfy their current debts), "QUICK RATIO" (It shows the company's ability to use it cash/assets and pay off its current debts. It is also known as acid test ratio) and "OPERATING CASH FLOW RATIO" (this helps in measuring how much the current debts can be paid off by the cash flow which is generated by the company's operation).
Incomplete question. The option read;
A) star
B) cash cow
C) dog
D) problem child
E) top gun
Answer:
<u> A) star</u>
Explanation:
Note, the Growth-Share Matrix is designed to assist companies in determining which among their investment portfolio is worth directing resources and capital into and that would be most profitable. It is represented in four quadrants.
Among all the quadrants, the Star quadrant is meant for investments with great future potential. We could recall that there's a positive projection for MJS, it was said that the<em> "fruit market is expected to have a double-digit growth rate over the next decade." </em>Hence, MJS would most likely be classified as a star.
Answer:
Weeks of supply = 4.16 weeks
Explanation:
given data
net income = $20 million
revenue = $60 million
cost of goods sold = $25 million
inventory = $2 million
property, plant, and equipment = $500,000
to find out
how many weeks of supply does the firm hold
solution
we know here that Weeks of supply will be express as
Weeks of supply =
× 52 weeks ....................................1
so put here value we get weeks of supply
Weeks of supply =
× 52 weeks
Weeks of supply = 4.16 weeks