If a company has a quick ratio of 1.0 and a current ratio of 2.0, it is more likely that A. the value of current liabilities is equal to the value of inventory. B. the value of current assets is equal to the value of inventory. C. the value of current assets is equal to the value of current liabilities. D. the value of current liabilities is more than the value of current assets.

If a company has a quick ratio of 1.0 and a current ratio of 2.0, it is more likely that A. the value of current liabilities is equal to the value of inventory. B. the value of current assets is equal to the value of inventory. C. the value of current assets is equal to the value of current liabilities. D. the value of current liabilities is more than the value of current assets.

Survey of Accounting (Accounting I)

8th Edition

ISBN:9781305961883

Author:Carl Warren

Publisher:Carl Warren

Chapter9: Metric-analysis Of Financial Statements

Section: Chapter Questions

Problem 5SEQ

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