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irakobra [83]
2 years ago
5

Thomas is concerned about his company's ability to pay off its short-term debts. If he wants to know more about his company's li

quidity, what should he do?
Calculate his debt to equity ratio
Calculate his net working capital
Calculate his total assets
Calculate his total liabilities
Business
1 answer:
Umnica [9.8K]2 years ago
3 0

Answer: Calculate his net working capital

Explanation:

The net working capital shows a company's ability to pay off its short term obligations using its current assets.

It is calculated by subtracting the current liabilities of a company from its current assets. When net working capital is high, a company has enough to ensure that it can grow in the short run but when the net working capital is little or negative, the company will have a hard time paying off short term obligations which will affect its financial health.

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A group of management consultants is studying OGSI Manufacturing and its team management strategy. Once Pete Jazoni's work group
boyakko [2]

Answer:

the Hawthorne effect

Explanation:

The Hawthorne Effect is the theory that states that people are more likely to modify their behavior because they are under study or evaluation and not as a result of response to stimuli.

Therefore, according to the given question, Pete Jazoni's output nearly doubled once it was selected for special attention by experts. This is an example of the Hawthorne effect.

7 0
3 years ago
In​ 2008, as a financial crisis began to unfold in the United​ States, the FDIC raised the limit on insured losses to bank depos
Dafna1 [17]

Answer:

The correct answer is option D.

Explanation:

In​ 2008, as a financial crisis began to unfold in the United​ States, the FDIC raised the limit on insured losses to bank depositors from​ $100,000 per account to​ $250,000 per account.

During the financial crisis, there was a sense of panic. The regulators were concerned that depositors would expect their banks to crash and would fear that they may lose their money. The regulators expect the depositors to pull money back from their banks. The money supply will get reduced further. This will further reduce the money with banks. This could lead to even healthy banks to fail.

Raising the insurance limit would reassure depositors that their money was safe in banks and prevent a bank panic. This will further help to stabilize the financial system.

4 0
3 years ago
If a regulatory commission imposes upon a nondiscriminating natural monopoly a price that is equal to marginal cost and below av
denpristay [2]

Answer:

The correct answer is letter "D": The firm must be subsidized or it will go bankrupt.

Explanation:

A subsidy is a benefit given to an individual, business or institution, typically by the government. Subsidies are given to promote a social good or economic policy. The government usually provides subsidies in the form of cash or tax breaks, low-rate loans, and certain types of rebates.

In the example, as the commission sets the price of the monopoly products below the average total cost, it will be translated in losses. Then, a subsidy will be necessary to be provided otherwise the company will file for bankruptcy.

3 0
3 years ago
The notes receivable account of a business should include both the notes that haven't matured and the dishonored notes.
den301095 [7]

This statement is false. The notes receivable account should only include those notes which can still be collected. Notes that have not matured yet is still included in the notes receivable account because there is still the probability of collection. Dishonored notes should not anymore be included because there is no more probability of collection.

6 0
3 years ago
Chico Company paid $950,000 for a basket purchase that included office furniture, a building and land. An appraiser provided the
kramer

Answer:

$171,000

Explanation:

The company psid $950,000 for office furniture, building and land

The market value of the assets is

Office furniture= $190,000

Building= $740,000

Land= $132,000

Therefore the cost that should be allocated to the office furniture can be calculated as follows

= 18/100 × 950,000

= 0.18×950,000

= 171,000

6 0
3 years ago
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