Match the following terms or phrases in (ag) with the explanations in 18. Terms or phrases may be used more than once.

Question

Current assets/Current liabilities

Remote contingent liability

Current assets Current liabilities

Cash + Temporary investments + Accounts receivable

(Cash + Temporary investments + Accounts receivable)/Current liabilities

Probable likelihood and estimable liability

Probable likelihood of a liability but cannot be estimated

Reasonably possible likelihood of a liability

Measures the instant debt-paying ability of a company

All Answer Choices

a.

Current ratio

b.

Working capital

c.

Quick assets

d.

Quick ratio

e.

Record an accrual and disclose in the notes to the financial statements

f.

Disclose only in notes to financial statements

g.

No disclosure needed in notes to financial statements