6. Which of the following measures do decision makers use to determine a company's ability to pay it shorterm debts as they come due? 2. Ase of receivables b. Return on assets c. Cuncentratio a. Inventory tumover a. Receivables tumover 7. Which of the following statements is true of liabilities? 2. It represents claims to a company's equity. b. The smaller a liability total is in comparison to the reported amount of assets, the riskier the financial position. c. A lower percentage of current liabilities to current assets will result in a lower curent natio. a. It is an obligation owed to a party outside the reporting organization. e. It cannot be settled by the conveyancofof other assets or the delivery of services. 8. Current ratio measures a company/s: 2. profitability. b. liquidity. c. longterm solvency. d. retum on capital. e. turnover. 9. Acurrent ratio of 0.6 to 1.0 means: a. current assets is 60 percent of current liabilities. b. current lilabilities is 60 percent of current assets. C. current liabilities represent 40 percent of total liabilities. d. the company has more current assets than current llabilities. e. the company will be able to satisfy 40 percent of current liabilities by the end of the vear