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adoni [48]
3 years ago
5

If a company's current ratio increases from 1.2 to 1.4 from one year to the next, and its quick ratio decreases from 0.2 to 0.15

over the same time period, this indicates: a. the current liabilities have decreased. b. the inventory management should be further examined. c. the liquidity must have increased. d. the accounts receivable have decreased.
Business
1 answer:
Lubov Fominskaja [6]3 years ago
4 0

Answer: b. the inventory management should be further examined.

Explanation:

The Quick ratio is calculated by deducting inventory from the current assets and then dividing that amount by current liabilities while the Current ratio is simply dividing the current assets by the current liabilities.

If the Current ratio increased, it means that the company has more current assets per current liabilities from last year. The fact that the quick ratio dropped however, points to most of the current asset increase being the inventory which means that the company is carrying a lot of inventory.

Their management of inventory such that they are carrying such amounts therefore needs to be further examined before a decision is made on their liquidity.

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zimovet [89]

Answer:

The answer is: Union shop

Explanation:

Union shop refers to an agreement between a company and a labor union making it mandatory that all employees must belong to the labor union or if they are hired recently, they must join the union within a certain period of time.

In this case the time given to Max was 8 weeks for him to join the union or he would not be able to work there.

5 0
3 years ago
For the last two months thomas has been worried that something bad is going to happen. he can't pinpoint the source of this feel
yan [13]
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4 years ago
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EastWind [94]

Answer:

The correct answer is dominating.

Explanation:

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4 0
3 years ago
PLEASE do your best on these questions, it’s 75% of my grade
Simora [160]

Answer:

C

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8 0
3 years ago
Read 2 more answers
The answers to an economy's three central economic problems are determined by the interaction of three forces: economic forces,
jeka57 [31]

Correct/Complete Question:

The answers to an economy's three central economic problems are determined by the interaction of three forces: economic forces, political forces, and social forces. True or False

Answer:

True

Explanation:

The above forces, economic, political and social determine the answers to the three economic problems and also determines how economic forces operate in an economy. The three economic questions are;

 -  What goods and services should be produced?

 -  How should these goods and services be produced?

 -  Who consumes these goods and services?

Political forces are forces that influence the economic and political stability of the market. Social forces include cultural influences on the economic stability of the market. Economic forces on the other hand are the factors that determine/influence the competitiveness of the market in which a firm operates.

I hope this helps.

5 0
3 years ago
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