FC L4 P2

FC L4 P2

KG

50 Qs

quiz-placeholder

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FC L4 P2

FC L4 P2

Assessment

Quiz

Others

KG

Practice Problem

Easy

Created by

castroregine undefined

Used 4+ times

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50 questions

Show all answers

1.

OPEN ENDED QUESTION

3 mins • 1 pt

Formula: Current assets/Current

liabilities

Evaluate responses using AI:

OFF

Answer explanation

Current ratio

2.

OPEN ENDED QUESTION

3 mins • 1 pt

otherwise known as the

working capital ratio,

Evaluate responses using AI:

OFF

Answer explanation

Current ratio

3.

OPEN ENDED QUESTION

3 mins • 1 pt

measures the

ability of a business to meet its

short-term obligations that are due

within a year.

Evaluate responses using AI:

OFF

Answer explanation

Current ratio

4.

OPEN ENDED QUESTION

3 mins • 1 pt

Avery high

_ may mean there is excess

cash that should possibly be invested

elsewhere in the business or that there

is too much inventory. Most believe that

a ratio between 1.2 and 2.0 is sufficient

Evaluate responses using AI:

OFF

Answer explanation

Current ratio

5.

OPEN ENDED QUESTION

3 mins • 1 pt

Generally acceptable current ratio

is .

Evaluate responses using AI:

OFF

Answer explanation

2:1

6.

OPEN ENDED QUESTION

3 mins • 1 pt

Quick ratio

Formula:

Evaluate responses using AI:

OFF

Answer explanation

Cash+Marketable

securities+Accounts receivable

net/Current asset

7.

OPEN ENDED QUESTION

3 mins • 1 pt

also known as the acid-test

ratio

Evaluate responses using AI:

OFF

Answer explanation

Quick ratio

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