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bmh12e bmh12e
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A month ago
Investigating liquidity is important because

▸ a company's price earnings ratio will decline.

▸ if a company cannot pay its bills on time, it will have difficulty obtaining resources needed to continue operating.

▸ GAAP requires that assets must exceed liabilities.

▸ a company needs the ability to buy long-term assets.
Textbook 

Managerial Accounting


Edition: 4th
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daoneandonly300daoneandonly300
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A month ago
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if a company cannot pay its bills on time, it will have difficulty obtaining resources needed to continue operating.

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