What is meant by the term liquidity and why are stakeholders interested in ratios that measure it?
Liquidity refers to the financial position a company has with respect to their ability to pay off short-term obligations as they become due. Stakeholders are interested in ratios that measure liquidity because they wish to determine how "liquid" a particular company is. If a company is liquid, then, at least in the short-run, they should be able to meet their obligations; however, if a company is not liquid, then they will have trouble meeting their obligations and may go out of business as a result, unless financing can be secured some other way.
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A commercial bank that gets its charter from a state government (the state in which its headquarters are located) is called a ________ bank.
A. local B. community C. charter D. state
Kline, Finkel, and Martinez have been partners for years, but a court is now dividing the assets and liabilities of the partnership separate from the assets and liabilities of the individual partners. This process is called:
A) liquidation. B) marshaling assets. C) winding up. D) dissolution of the partnership.
The number of jobs to be included in a specific group is an issue of span of control.
Answer the following statement true (T) or false (F)
A(n) ________ details the costs and benefits of each alternative and the changes that the organization will have to make to use the solution effectively.
A) Implementation Plan B) Alternative selection process C) Testing Plan D) Information Requirements analysis E) Feasibility Study