The acid-test ratio differs from the current ratio in that it
a. represents the amount of cash on hand instead of the amount of working capital.
b. excludes inventories and accounts receivable from the numerator of the fraction because of obsolescence and possible nonpayment.
c. is a stricter test of a company's ability to pay its current debts as they are due.
d. signals the need to liquidate marketable securities when it drops below 5 to 1.
c
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The disadvantage of the IRR method is that
A) the IRR will always give the same project accept/reject decision as the NPV. B) the IRR gives equal regard to all returns within a project's life. C) the IRR requires long, detailed cash flow forecasts. D) the IRR deals with cash flows.
Export controls have been extended by the president through the issuance of executive orders pursuant to the USA Patriot Act
Indicate whether the statement is true or false