Multiple Choice
The current ratio:
A) Is used to measure a company's profitability.
B) Is used to measure the relation between assets and long-term debt.
C) Measures the effect of operating income on profit.
D) Is used to help evaluate a company's ability to pay its debts in the near future.
E) Is calculated by dividing current assets by equity.
Correct Answer:
Verified
Correct Answer:
Verified
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