The "apparent," but not the "true," financial position of a company whose sales are seasonal can differ dramatically, depending on the time of year when the financial statements are constructed.
Answer the following statement true (T) or false (F)
True
Rationale: Many of the ratios show sales over some past period such as the last 12 months divided by an asset such as inventories as of a specific date. Assets like inventories vary at different times of the year for a seasonal business, thus leading to big changes in the ratio.
You might also like to view...
Men are more likely to be ______ during interactions.
Fill in the blank(s) with the appropriate word(s).
______ is a method by which individual can receive feedback from a wide range of people with whom they work.
a. Coaching b. Mentoring c. 360-degree feedback d. Career development
Griffith Manufacturing ships 40 crates of goods by Trusty Shipping, a common carrier. Trusty offers Griffith a shipping rate of $725 for a limited liability of $5,000 or a rate of $975 for full liability for any harm to the goods. Griffith chooses the $725 rate. In transit, Trusty's driver has an accident during an ice storm and all of Griffith's goods are destroyed, causing a loss of $12,000. If Griffith sues Trusty,
A. Trusty will be liable for only $5,000 because a common carrier is allowed to limit its liability by contract. B. Trusty will be liable for the full $12,000 because common carriers have strict liability. C. Trusty will automatically be liable for the full $12,000 under the Carmack Amendment. D. Trusty is subject to normal bailment rules and can escape liability for any damage to the goods by proving that it exercised due care of the property and that the loss was caused by an act of God.
The Certified Administrative Professional and Certified Professional Secretary certificates are sponsored by Microsoft Corporation
Indicate whether the statement is true or false