Question

what acid ratio test

Answer 1

The acid-test ratio is a strong indicator of whether a firm has sufficient short-term assets to cover its immediate liabilities. This metric is more robust than the current ratio, also known as the working capital ratio, since it ignores illiquid assets such as inventory.
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Answer 2

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-the acid ratio test is strong indicator o whether a firm have sufficient short term assets to cover it's immediate liabalities .the basic formula of acid ratio test ( ATR) is cash +account receivable + short term investment )/current liabilities .short term investment include marketable securities that can be liquidated quickly.
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