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NEW QUESTION: 1
Where does blood travel when it leaves the right ventricle of the heart?
A. To the aorta, then out to the body
B. To the vena cava then to the left atrium
C. To the pulmonary veins, then to the lungs
D. To the pulmonary arteries then to the lungs
Answer: C
NEW QUESTION: 2
As a company becomes more conservative with respect to working capital policy, it would tend to have a
(n):
A. Decrease in the quick ratio.
B. Increase in the ratio of current assets to noncurrent assets.
C. Decrease in the operating cycle.
D. Increase in the ratio of current liabilities to noncurrent liabilities.
Answer: B
Explanation:
RULE: Working capital policy is deemed to be more conservative as an increasing portion of an
organization's long-term assets, permanent current assets, and temporary current assets are funded by
long-term financing.
Choice "d" is correct. An increase in the ratio of current assets to non-current assets would be indicative
of an increasingly conservative working capital policy. With no other information, an increase in current
assets would indicate that a growing percentage of current assets are financed by non current liabilities
and that, nominally, the absolute amount of working capital and the current ratio is improving.
Choice "a" is incorrect. An increase in the ratio of current liabilities to noncurrent liabilities would indicate
that an increasing portion of our assets are funded by current liabilities, a more aggressive approach to
working capital management.
Choice "b" is incorrect. A decrease in the operating cycle implies that the time to convert inventory into
sales (receivables) and receivables into cash has decreased. Assuming no change in liabilities or sales, a
decreased operating cycle infers declining current asset balances, greater funding of assets by current
liabilities and a more aggressive rather than conservative working capital policy.
Choice "c" is incorrect. A decrease in the quick ratio would indicate that either temporary current assets
are decreasing (and are therefore increasingly funded by current liabilities, indicating a more aggressive
working capital policy) or that current liabilities are increasing, signaling a decrease in the amount of
noncurrent liabilities used to fund temporary current assets, a sign of an increasingly aggressive working
capital policy.
NEW QUESTION: 3
Correctly measuring the productivity of service workers is complex. Consider, for example, postal workers:
they are often said to be more productive if more letters are delivered per postal worker. But is this really true? What if more letters are lost or delayed per worker at the same time that more are delivered?
The objection implied above to the productivity measure described is based on doubts about the truth of which of the following statements?
A. The delivery of letters is the primary activity of the postal service.
B. Postal workers are representative of service workers in general.
C. Productivity should be ascribed to categories of workers, not to individuals.
D. The number of letters delivered is relevant to measuring the productivity of postal workers.
E. The quality of services rendered can appropriately be ignored in computing productivity.
Answer: E
Explanation:
Explanation/Reference:
Explanation:
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