Question

The quick ratio of company is 2 : 1. State given reason which of following translation

would improve reduce or not change the quick ratio.

1) Payment of outstanding liabilities

2) Purchase of goods for cash

3) Purchase of goods on credit of 2 month.

4) Sales of goods for cash at cost

5) Sales of goods from cash at loss

6) Sales of goods from cash at profit.​

Answer 1

Answer:

option 3) is correct

Explanation:

because we want ratio 2:1