Answer:
c. liquidity ratio
Explanation:
Liquidity means having cash or access to cash readily available to meet obligations to make payments.
For the purpose of ratio analysis, liquidity is measured on the assumption that the only sources of
cash available are:
Cash in hand or in the bank, plus
Current assets that will soon be converted into cash during the normal cycle of trade.
It is also assumed that the only immediate payment obligations faced by the entity are its current liabilities.
There are two ratios for measuring liquidity:
Current ratio
Quick ratio, also called the acid test ratio.
Based on the above discussion, the answer is c. liquidity ratio
Answer:
b. Enterprise fund and depreciation on the capital assets should be recorded.
Explanation:
Cash flow can be defined as the net amount of cash and cash- equivalents that is flowing into (received) and out (given) of a business. There are three components of the cash flow;
1. Operating cash flow: all cash generated from the business activities of an organization.
2. Financing cash flow: all payments made by an organization and profits from issuance of debts and equity.
3. Investing cash flow: costs associated with purchasing of capital assets and investments of cash resources in other businesses.
Capital assets used by an enterprise fund should be accounted for in the enterprise fund and depreciation on the capital assets should be recorded.
Additionally, depreciation can be defined as the reduction of cost of a fixed asset systematically until the value of the asset becomes zero.
Answer:
D. Slander of title.
Explanation:
Slander of title occurs when someone publishes an untrue and disparaging statement about another person’s real property -- meaning a home, building, or parcel of land -- and the statement could have a negative impact on the property's value.
Answer:
a. Gerard’s contract is voidable at his option while it is entirely executory.
Explanation:
In the United States of America, one of the most widely used recognized and most cited legal treatises is the Restatement of Contracts. It allows legal luminaries (judges and lawyers) to have a general understanding of non-binding authorities in contract or common law.
According to the Restatement (second) of Contract, voidable contract is one where one or more parties have the power, by a manifestation of election to do so, to avoid the legal relations created by the contract, or by ratification of the contract to extinguish the power of avoidance.
Hence, under the Restatement, Gerard’s contract is voidable at his option while it is entirely executory.
63. In most states, whether the time within which a minor disaffirms a contract constitutes a reasonable time is determined by the fact and circumstance of the case.
