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pashok25 [27]
2 years ago
9

Which liquidity ratio is considered to be the most stringent because it eliminates inventory in its measurement

Business
1 answer:
balu736 [363]2 years ago
5 0

Acid test or quick ratio is the liquidity ratio that is most stringent because it

eliminates inventory in its measurement.

Acid test ratio can be calculated by:

<u>Current assets - inventory</u>

current liabilities

Acid test ratio eliminates the inventory which is the least liquid asset from

current assets. This ratio help companies determine how fast it can convert

its assets into cash in order to take care of its liabilities.

Read more about Acid test ratio on brainly.com/question/25814739

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All of the following are functions of a knowledge management system EXCEPT: a. designing information systems. b. improving colla
Alika [10]

Answer:

designing information systems

Explanation:

knowledge management system are system designed to managed the knowledge of a company. The design of IT Systems is not under it scope.

7 0
3 years ago
The manager of a retail store notices that 7% of the inventory is missing. She doesn’t know if the merchandise was stolen, lost,
hodyreva [135]

Answer:

<u>(D) ​inventory obsolescence</u>

Explanation:

  • It is known as the phase where the inventory is at the end or final stage of its product cycle. This inventory can be sold or used for the long run and is then not expected or liable to be given or sold in the future by the company.
  • As she doesn't know whether the inventory is missing or does not know if it has been broken or stolen, she can note this down and thus can asset for the criteria following the valid integrity testing.
8 0
3 years ago
Maria wants to start a restaurant of her own. as she does not have any savings, she approaches her bank for money and enters an
Art [367]

Answer:

Line of credit

Explanation:

Line of credit ( LOC )-

It is the monetary value , which the bank or any credit union agrees to lend , with a predefined limit , from which the person can use the amount and then the interest is paid for the amount the person has borrowed , is known as line of credit .

In the case of LOC , a maximum limit , the interest rate and the time to repay back the amount with some minimum payments is defined beforehand .  

8 0
3 years ago
In the tiered architecture, the erp application is stored on the ________ tier
MissTica

The erp application is stored on the business logic tier in tiered architecture.

<h3>What is an erp application?</h3>

Also called a Enterprise resource planning software, involves the use of software, technologies and systems  to manage and integrate their core business processes.

As the tiered architecture is concerned, the erp application is stored on the business logic tier.

Read more about erp application

<em>brainly.com/question/14635097</em>

#SPJ12

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