Question

Current assets=480000: current liabilities=400000 , current ratio

Answer 1

Answer:

1.2 x

Explanation:

Current ratio= current assets/ Current Liabilities

Answer 2

Hope this will help you.

Explanation:

The formula to calculate current ration is current assets divide by current liabilities.

So i.e. Current Ration= Current Assets\ Current Liabilities

Current Assets = 4800000

Current Liabilities = 400000

Current Ration = 480000/400000

Current ration=  1.2

Current ratio measures the ability of a company to pay its short term obligations i.e. which are due within a year.