In the Current Economic Climate, Banks Are Remaining Very Conservative

Multiple Choice

In the current economic climate, banks are remaining very conservative in their lending practices. Peak Performance Sporting Goods is seeking a loan for expansion. As a loan officer for the local bank, you calculate the acid-test ratio for Peak Performance Sporting Goods. Using the information below, you determine Peak Performance's acid-test ratio = .

A) 1.0
B) 1.5
C) 2.5
D) 3.0