Multiple Choice
The current and quick ratios have two limitations.These ratios
A) emphasize the ineffectiveness of analysts' calculations and focus on liquid assets at a point in time instead of a period of time.
B) focus on cash instead of working capital,and they represent a point in time instead of covering a period of time.
C) focus on working capital instead of cash,and they represent a point in time instead of covering a period of time.
D) are ignored by most creditors and focus on working capital instead of cash.
Correct Answer:

Verified
Correct Answer:
Verified
Q1: The return on assets ratio<br>A)considers the investment
Q2: Kim Chen Corporation is a wholesaler of
Q3: The following information is available from
Q5: Presented below are selected data from
Q6: Knife Corp.<br>Use the selected data presented
Q7: A nonbusiness entity would be particularly concerned
Q8: A high P/E ratio always indicates that
Q9: Vertical analysis is a comparison of financial
Q10: Trend analysis is analysis<br>A)of dollar changes and
Q11: Your supervisor asks you to compare the