1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
pashok25 [27]
3 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]3 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

You might be interested in
Nineteen-year-old Devon plans to get a credit card, but his parents say it is not a good idea. What fiscally responsible argumen
skad [1K]

Nineteen-year-old Devon can tell to his parents on giving the disapproval of credit card that He needs a credit card if he wants to make any online purchases.

<h3>What is credit card?</h3>

A credit card is one that is offered to consumers and applied to make acquisitions with the thought that the cardholder will eventually return to the card issuer.

This return eventually for the cost of the things purchased, as well as any agreed-upon fees and interest, if any.

In the above case, Nineteen-year-old Devon wishes to acquire a credit card, but his parents feel it is not a smart idea.

What fiscally sensible argument can Devon present should get his parents to require a credit card if he intends to make any online transactions.

Therefore, option C is correct.

Learn more about the credit card, refer to:

brainly.com/question/27350251

#SPJ1

5 0
2 years ago
Many years after constructing a plant asset, management spent a significant sum on the asset. Which of the following types of ex
ryzh [129]

Answer:

(1) NO As this maintenaince will be done in order to keep the current value It is an expenditure to avoid decay of the plant assets

(2) Yes it should be capitalizeds as increase the useful life of the assets (thus the depreciation will change as well as the useful years remaining increases

(3) Yes it should be. As increase the utility it will have a higher future positive cashflow in the future.

Explanation:

We are asked under which circumnstances the amont spend in the maintenance or overhaul should increase the plant asset account or be considered expense of the period.

7 0
4 years ago
Read 2 more answers
Your friend says to you, "America is one of the fairest countries in the world because we have a democracy, and we are able to v
professor190 [17]

Answer and explanation:

Democracy is the state in which individuals of a community make decisions collectively being the interest of most people prioritized. A pure form of democracy is difficult to find even in countries that highly promote equal rights such as the United States.

The Democracy Index is a composite that measures democracies in 167 countries scoring them from 1 to 10 (10 is the highest grade). In 2019, The U.S. was positioned in the 25th place in the list of most democratic countries. <em>Norway </em>is placed in the first place followed by <em>Iceland</em>.

In such a case, <em>we should recommend our friend to take a look at the Democracy Index where he or she will find out that the U.S. is not one of the fairest nations in the world. Its government functioning and political participation are aspects where the U.S. needs improvement.</em>

6 0
3 years ago
The explanation for why marginal cost is positive and rising in the short run is ________ marginal product of labor in the produ
Mkey [24]

Answer:

c. an increasing is the right answer

8 0
4 years ago
You write one JNJ February 70 put for a premium of $5. Ignoring transactions costs, what is the break-even price of this positio
Law Incorporation [45]

Answer:

$65

Explanation:

The calculation of the break even price for this position is given elow:

Break even price is

= Strike price - premium

= $70 - $5

= $65

The stock goes increase i.e. upwards to $65 so the amount that lose is only $5 but it declines than the stock would be $0

Therefore, the break even price of this position is $65

So, by using the above formula we can get the break even price and the same is to be considered

4 0
3 years ago
Other questions:
  • Microtech plans to sell 2,000 computers in April; 1,900 in May; and 2,000 in June. The company keeps 15% of the next month’s sal
    12·1 answer
  • __________ involves taking apart a product, analyzing it, and creating an improved product that does not infringe on the competi
    13·1 answer
  • A generic market Multiple Choice a. often includes consumers who will satisfy the same need in quite different ways. b. often in
    13·1 answer
  • Bob catches 100 rabbits in a certain area and marks them with tags. later, bob catches another 100 rabbits in the same area and
    12·1 answer
  • Jenn wants to move to a place where she can stat her own coffee shop and use a bus train or subway to get to work everyday. Whic
    12·1 answer
  • The marginal product of labor is defined as A. the additional sales revenue that results when one more worker is hired. B. the c
    7·1 answer
  • Which of the following is not a characteristic of advances in order pick technology
    13·1 answer
  • Hughes Co. is growing quickly. Dividends are expected to grow at a rate of 22 percent for the next three years, with the growth
    7·1 answer
  • Identify what is needed to calculate the P/E ratio. (Check all that apply.) Multiple select question. Return on equity Average s
    7·1 answer
  • Friedrich hayek advocated for the concepts of laissez-faire economic thought and free markets. True or false?.
    5·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!