A survey is valid, if it measures what it is designed to measure. And the answer is c. is the correct answer. Hope it helped you!
Answer: I found the options:
A. The current ratio includes assets other than cash.
B. A high current ratio may indicate inadequate inventory on hand.
C. The two companies may define working capital in differentterms.
D. A high current ratio may indicate inefficient use of various assetsand liabilities.
Explanation: The correct answer is "D. A high current ratio may indicate inefficient use of various assets and liabilities."
Is invalid to assume that the company with the higher current ratio is te better company because a high current ratio may indicate inefficient use of various assets and liabilities, That is why it would be convenient to observe other ratios that can help us compare more fully the 2 companies.
Answer:
Option (E) is correct.
Explanation:
For utility maximization,
Bob's consumption of Housing and food should be such that:
Here,
= 50
=20
Bob is not maximizing utility, as these two terms are not equal(50 > 20).
Since the marginal utility per rupee spent on housing is greater than that on food.
Hence, Bob can increase his utility just by consuming more of housing and less of food.
Answer:
Instructions are below.
Explanation:
Giving the following information:
Sales in units:
January= 3,000
February= 2,000
March= 2,500
April= 2,700
May= 2,900
The required ending inventory is 20% of the next month's sales, and the beginning inventory on January 1 was 600 units.
The production budget for each month is calculated using the following formula:
Production= sales + desired ending inventory - beginning inventory
Production budget:
January:
Sales= 3,000
Ending inventory= (2,000*0.2)= 400
Beginning inventory= (600)
Total= 2,800
February:
Sales= 2,000
Ending inventory= (2,500*0.2)= 500
Beginning inventory= (400)
Total= 2,100
March:
Sales= 2,500
Ending inventory= (2,700*0.2)= 540
Beginning inventory= (500)
Total= 2,540
April:
Sales= 2,700
Ending inventory= (2,900*0.2)= 580
Beginning inventory= (540)
Total= 2,740
