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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

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katen-ka-za [31]
Yes. This is a team-based design since managers and employees are being grouped into teams in order to solve certain problems. They help hand in hand in coming up to a solution. Hope this answers the question. Have a nice day.
3 0
4 years ago
Inventory records for Herb's Chemicals revealed the following:
antiseptic1488 [7]

Answer:

Inventory= $5,040

Explanation:

Giving the following information:

March 1, 2021, inventory: 1,000 gallons @ $7.20 per gallon = $7,200

Purchases:

Mar. 10 600 gals @ $ 7.25

Mar. 16 800 gals @ $ 7.30

Mar. 23 600 gals @ $ 7.35

Sales:

Mar. 5 400 gals

Mar. 14 700 gals

Mar. 20 500 gals

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Total units= 3,000

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Ending inventory= 700 units

LIFO (last-in, first-out)

Inventory= 700*7.20= $5,040

8 0
3 years ago
What is the purpose of the customs department of a country’s government?
soldi70 [24.7K]

Answer:

Customs Duty is a tariff or tax imposed on goods when transported across international borders. The purpose of Customs Duty is to protect each country's economy, residents, jobs, environment, etc., by controlling the flow of goods, especially restrictive and prohibited goods, into and out of the country.

8 0
4 years ago
Ability to visualize and implement possible business solutions
likoan [24]
This is known as Data Visualization
4 0
3 years ago
Many consumers consider goods X and Y to be complements. If there is an increase in the price of good X, then (all else the same
Lemur [1.5K]

Answer:

False

Explanation:

Complement goods are goods that are consumed together.

If the price of good X increases, producers would increase their supply of good Y and X.

An increase in supply shifts the supply curve to the right.

I hope my answer helps you

5 0
3 years ago
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