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Consider the following balance sheet: Assume that the business uses $30,000 from its cash account to pay employee salaries. Which of the following statements reflects
Consider the following balance sheet: Assume that the business uses $30,000 from its cash account to pay employee salaries. Which of the following statements reflects the resulting balance sheet change? The cash account decreases by $30,000 and the retained earnings account is reduced by $30,000 The cash account decreases by $30,000 and the inventory account is increased by $30,000 The cash account decreases by $30,000 and the long term debt account is increased by $30,000 The cash account decreases by $30,000 and the accounts receivables account is reduced by $30,000 Assume an external supply vendor is evaluating a hospital's ability to pay for the supplies when the bill comes due in 30 days. Which financial ratio would the vendor most likely be interested in? Days of cash on hand Return on equity Fixed asset turnover Return on assets
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