Which refers to availability of cash over the longer term

Reference no: EM132781388

Problem 1: Which of the following statements is true?

I. Financial flexibility is a company's ability to respond and adapt to financial adversity and unexpected needs and opportunities.

II. On the balance sheet, an adjunct account reduces either an asset, a liability, or an owners' equity account.

a. Statement A is true and Statement B is false.

b. Statement A is false and Statement B is true.

c. Both Statements are true.

d. Both Statements are false.

Problem 2: refers to the availability of cash over the longer term to meet maturing obligations?

a. Liquidity

b. Solvency

c. Profitability

d. Both a and b

Problem 3: It is the ability of the entity to meet currently maturing obligations

a. Profitability

b. Solvency

c. Liquidity

d. Maturity

Reference no: EM132781388

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