The quick ratio differs from the current ratio in that it:
A) represents the amount of cash on hand instead of the total current assets.
B) excludes inventories and accounts receivable from the numerator of the fraction because of obsolescence and possible collection problems.
C) is a stricter measure of a company's ability to pay its current obligations.
D) signals the need to liquidate short-term investments when it drops below 2.0.
C
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The Employer's Quarterly Federal Tax Return form does not include lines for
a. the EIN; b. the taxable Social Security wages; c. sick pay for the quarter; d. overpayments applied from a prior quarter; e. FUTA tax.
Typical steps needed before a business can start selling goods and/or services to customers include:
A. only financing activities. B. financing and investing activities. C. only operating activities. D. only investing activities.
The ____________ argument suggests duties that would bring imported goods up to the price level of goods in the domestic market.
Fill in the blank(s) with the appropriate word(s).
A company would most likely have an unfavorable labor rate variance and a favorable labor efficiency variance if
a. the mix of workers used in the production process was more experienced than the normal mix. b. the mix of workers used in the production process was less experienced than the normal mix. c. workers from another part of the plant were used due to an extra heavy production schedule. d. the purchasing agent acquired very high quality material that resulted in less spoilage.