Question

liquid ratio is derived by dividing quick assets by
a.long term liabilities
b.current liablities
c.creditors only
d.none of these​

Answer 1

Liquidity ratios are an important class of financial metrics used to determine a debtor's ability to pay off current debt obligations without raising external capital. Liquidity ratios measure a company's ability to pay debt obligations and its margin of safety through the calculation of metrics including

Answer 2

Answer:

b.) current liabilities

Explanation:

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