The formula for calculating the cash ratio is calculated is ________.

A. (Cash + Cash equivalents) / Total current liabilities
B. (Cash equivalents) / Total current liabilities
C. (Cash + Cash equivalents) / Total assets D. (Cash) / Total liabilities


Answer: ( cash + cash equivalents ) / total current liabilities

Business

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What will be an ideal response?

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As the ratio of the cost of overstocking to the cost of understocking gets smaller,

A) the optimal level of product availability becomes irrelevant. B) the optimal level of product availability decreases. C) the optimal level of product availability remains stable. D) the optimal level of product availability increases.

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Consolidated financial statements:

A. Include the investments in the subsidiaries on the balance sheet. B. Show the results of operations, cash flows, and the financial position of the parent only. C. Show the results of operations, cash flows, and the financial position of all entities under a parent's control, including all subsidiaries. D. Do not include a balance sheet. E. Show the results of operations, cash flows, and the financial position of the subsidiary only.

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Indicate whether the statement is true or false

Business