Asked by
Halei Nesbitt
on Oct 09, 2024Verified
The company's acid-test (quick) ratio is closest to:
A) 1.90
B) 1.85
C) 2.65
D) 1.81
Acid-Test Ratio
A financial metric that measures a company's ability to pay off its current liabilities with its quick assets, excluding inventory.
Company
A corporate body set up by a team of people aimed at operating and handling a business operation, which might be focused on commerce or industry.
- Compute and analyze the acid-test (quick) ratio to assess a firm's immediate liquidity excluding inventory assets.
Verified Answer
SA
Learning Objectives
- Compute and analyze the acid-test (quick) ratio to assess a firm's immediate liquidity excluding inventory assets.