Answer:
D. is not sending a strong message to investors and creditors that it has the ability to repay its short-term debt
Explanation:
The cash ratio helps measure the liquidity of the company as it shows if it can cover its short-term debt with the cash aand cash equivalents it has. When the ratio is less than 1, as in this case, it means that the company doesn't have enough cash to cover the short-term debt.
B is the answer.
Hope this helps.
Answer:
The answer is E. $24,000
Explanation:
Straight line depreciation method equals
Cost of asset - salvage value / number of years.
Cost of asset is $135,000
Salvage value is $15,000
Number of years is 5 years
$135,000 - $15,000/5 years
$120,000/5 years
=$24,000
Straight line method of depreciation has equal amount all through the year.
The first year through it end life.
Therefore, machines' first year depreciation under the straight-line method is $24,000
Answer:
Yes it does as the company expect to pay for the warranty but doesn't know as it may occur or don't dependion upon the notebook hardware and software performance over the 90-days period
Warranty expense 29,500 debit
Warranty Liability 29,500 credit
Explanation:
We will record a warrant liability for the 5% of the mount sold. As the warranty liability is generated at the time of sale which occur in December
Answer:
GARCH is a statistical model that can be used to analyze a number of different types of financial data, for instance, macroeconomic data. Financial institutions typically use this model to estimate the volatility of returns for stocks, bonds, and market indices