what is ideal ratio of current assets
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Answer:
2:1
Explanation:
The ideal current ratio is 2: 1. It is a stark indication of the financial soundness of a business concern. When Current assets double the current liabilities, it is considered to be satisfactory. Higher value of current ratio indicates more liquid of the firm's ability to pay its current obligation in time.
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The ideal ratio of current assets is 2:1
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