menu-iconExamlexExamLexServices

Discover

Ask a Question
  1. All Topics
  2. Topic
    Business
  3. Study Set
    Fundamentals of Financial Management Study Set 1
  4. Exam
    Exam 4: Analysis of Financial Statements
  5. Question
    Firms a and B Have the Same Current Ratio,0
Solved

Firms a and B Have the Same Current Ratio,0

Question 62

Question 62

True/False

Firms A and B have the same current ratio,0.75,the same amount of sales,and the same amount of current liabilities.However,Firm A has a higher inventory turnover ratio than B.Therefore,we can conclude that A's quick ratio must be smaller than B's.

Correct Answer:

verifed

Verified

Unlock this answer now
Get Access to more Verified Answers free of charge

Related Questions

Q26: The basic earning power ratio (BEP) reflects

Q57: Walter Industries' current ratio is 0.5.Considered alone,which

Q58: Other things held constant,a decline in sales

Q59: Helmuth Inc's latest net income was $1,500,000,and

Q60: Considered alone,which of the following would increase

Q63: Exhibit 4.1<br>The balance sheet and income

Q64: Which of the following statements is CORRECT?<br>A)

Q65: Which of the following statements is CORRECT?<br>A)

Q66: Exhibit 4.1<br>The balance sheet and income

Q67: A firm's new president wants to strengthen

Examlex

ExamLex

About UsContact UsPerks CenterHomeschoolingTest Prep

Work With Us

Campus RepresentativeInfluencers

Links

FaqPricingChrome Extension

Download The App

Get App StoreGet Google Play

Policies

Privacy PolicyTerms of ServiceHonor CodeCommunity Guidelines

Scan To Download

qr-code

Copyright © (2025) ExamLex LLC.

Privacy PolicyTerms Of ServiceHonor CodeCommunity Guidelines