________ is the amount of time between the recognition that an order needs to be placed and the point at which the merchandise arrives in the store and is ready for sale.
A. Delivery rate
B. Service level
C. Order time
D. Fill rate
E. Lead time
Answer: E
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If your liquidity ratio is 1.50, you have
A) $1.50 in liquid assets for $1.00 of take-home pay. B) $1.50 in liquid assets for $1.00 of current liabilities. C) $1.50 in liquid assets for $1.00 of total liabilities. D) $1.50 in liquid assets for $1.00 of total assets.
The days sales outstanding (DSO) ratio of a firm identifies:
A. ?the average length of time a firm must wait after making a credit sale before receiving cash. B. ?how effectively the firm uses its plant and equipment to help generate sales. C. ?the extent to which a firm's net operating income can safely decline. D. ?the profit (earnings) per dollar of sales. E. ?how much investors are willing to pay for the firm's stock for each dollar of reported profits.
One life insurance company reserve is designed to smooth the company's reported surplus over time by absorbing fluctuations in security prices that are not attributable to changing interest rates. This reserve is called the
A) asset write-off reserve. B) reserve for amounts held on deposit. C) unearned premium reserve. D) asset valuation reserve.
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