Post Utme Abu 2025 Commerce Question 40

Practice objective / multiple choice question 40 from the 2025 Post Utme Abu Commerce examination.

Post Utme Abu 2025 Commerce Objective / Multiple Choice
Question 40 POST_UTME_ABU • 2025 • COMMERCE • objective

A company is considering the introduction of a new product line. The product requires a significant investment in new equipment and training for employees. The company's management is concerned about the potential impact on the company's cash flow. Which of the following financial ratios would be most useful in evaluating the company's ability to finance the new product line?

Answer Options

A. Debt-to-Equity Ratio
Correct Answer B. Current Ratio
C. Return on Investment (ROI)
D. Cash Flow Margin
Correct Answer
B
Correct Option:
Current Ratio

About This Question

This is Post Utme Abu 2025 Commerce Question 40. It is one of the objective questions from the 2025 Post Utme Abu Commerce examination.

Master the Exam!

You've seen a preview, but there are thousands more questions plus AI tutor to break down complex solutions.

Unlock Full Access Available for Android & Windows
Chat with Support