Congress allows self-employed taxpayers to deduct the cost of health insurance above the line (for AGI) because: a. employers are allowed to deduct Social Security (FICA) taxes as a business expense. b. self-employed taxpayers need an alternate mechanism for reducing the cost of health care. c. this deduction provides a measure of equity between employees and the self-employed. d. health insurance premiums cannot be deducted otherwise. e. None of the choices are correct.

Afirm wants to strengthen its financial position. which of the following actions would increase its current ratio? a. reduce the company's days' sales outstanding to the industry average and use the resulting cash savings to purchase plant and equipment. b. use cash to repurchase some of the company's own stock. c. borrow using short-term debt and use the proceeds to repay debt that has a maturity of more than one year. d. issue new stock, then use some of the proceeds to purchase additional inventory and hold the remainder as cash. e. use cash to increase inventory holdings.