The most precise test of liquidity isa.Absolute Liquid ratiob.Current ratioc.Quick ratiod.None of the above
Question
Solution 1
The most precise test of liquidity is a. Absolute Liquid ratio.
Here's why:
- The Current Ratio: This is a financial metric that indicates a company's ability to pay off its short-term liabilities with its short-term assets. While it does provide a snapshot of financial health, it is not as prec Knowee AI is a powerful AI-powered study tool designed to help you to solve study problem.
Knowee AI is a powerful AI-powered study tool designed to help you to solve study problem.
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