Which of the following ratios and rates that measure debt-paying ability focuses on the long-term position of a company?
A: Quick ratio
B: Inventory turnover
C: Current ratio
D: Debt ratio
A: Quick ratio
B: Inventory turnover
C: Current ratio
D: Debt ratio
举一反三
- Which of the following is usually least important as a measure of short - term liquidity ______. A: Quick ratio B: Current ratio C: Debt ratio D: Cash flows from operating activities
- Typically, which of the following would be considered to be the most indicative of a firm's long-term debt paying ability? A: working capital B: Debt ratio C: acid test D: cash ratio
- All of the following statements are correct except ______. A: quick ratio is one of the current ratios B: quick ratio is used to measure the liquidity C: quick ratio is a more accurate measurement of liquidity of the current ratio D: quirk ratio is exact the same as the current ratio
- Which of the following statements best compares long-term borrowing capacity ratios? A: The debt/equity ratio is more conservative than the debt ratio. B: The debt ratio is more conservative than the debt/equity ratio. C: The debt/equity ratio is more conservative than the debt to tangible net worth ratio. D: The debt to tangible net worth ratio is more conservative than the debt/equity ratio.
- Magenta Ltd has a current ratio of 1.5, a quick ratio of 0.4 and a positive cash balance. If it purchases inventory on credit, what isthe effect on these ratios?? Current ratio increase and;Quick;ratio increase|Current ratio increase and;Quick;ratio decrease|Current ratio decrease and;Quick;ratio increase|Current ratio decrease and;Quick;ratio decrease