Search Header Logo

Finance Yes No 2

Authored by Hoa Hoa

Business

University

Used 1+ times

Finance Yes No 2
AI

AI Actions

Add similar questions

Adjust reading levels

Convert to real-world scenario

Translate activity

More...

    Content View

    Student View

48 questions

Show all answers

1.

MULTIPLE CHOICE QUESTION

5 mins • 1 pt

If accounts payable increases significantly while other operating conditions remain unchanged, it may indicate that the company is conserving cash, which improves operating cash flow.

Yes

No

2.

MULTIPLE CHOICE QUESTION

5 mins • 1 pt

If a company has strong net income but a significant drop in operating cash flow, it could be due to an increase in accounts receivable or inventory.

Yes

No

3.

MULTIPLE CHOICE QUESTION

5 mins • 1 pt

A company has current assets of $500,000, including $200,000 in inventory, and current liabilities of $300,000. Its quick ratio is greater than 1.5

Yes

No

4.

MULTIPLE CHOICE QUESTION

5 mins • 1 pt

If a company uses cash to repay short-term debt, its current ratio will improve.

Yes

No

5.

MULTIPLE CHOICE QUESTION

5 mins • 1 pt

The quick ratio excludes prepaid expenses and inventory because they are not easily converted into cash.

Yes

No

6.

MULTIPLE CHOICE QUESTION

5 mins • 1 pt

A company with a current ratio of 2.5 and a quick ratio of 0.8 may have a large portion of current assets tied up in inventory.

Yes

No

7.

MULTIPLE CHOICE QUESTION

5 mins • 1 pt

If a company's accounts receivable increases significantly while liabilities remain unchanged, the quick ratio will improve.

Yes

No

Access all questions and much more by creating a free account

Create resources

Host any resource

Get auto-graded reports

Google

Continue with Google

Email

Continue with Email

Classlink

Continue with Classlink

Clever

Continue with Clever

or continue with

Microsoft

Microsoft

Apple

Apple

Others

Others

Already have an account?