Question
Current ratio and Liquid ratio
Answer :
Word Count : 186
____ ___ _________ _______ _____ __________ ____.
________ __________ ______ ________ ________ ________ _____.
______ ______ _________ __________ ___.
________ _____ ___ _________ __________ _________ ____ _______ ______ ______.
___ ___ __________ _________ _____ ___ ______ _______ __________ _________ ______.
______ _____ ________ ____ _____ _________.
_________ _________ _______ __________ ____ ________ ___.
_____ _________ __________ __________ ______ ___ _____ ____ ____ ____ ________.
__________ _________ _____ _____ _________ _____ _________.
____ ____ ________ _______ _________ __________ ________ ____ ____ __________ ______ _______.
______ ___ ____ ________ ___ ______ ___ _____.
_________ __________ ___ ________ ____ ________ _______.
_______ _____ _________ ___ ______ ____ ________ ________ _________ _______.
_______ _________ ______ ____ _________ __________ ___ __________.
______ _________ ________ _________ ______ _________ ___ _____ _________ ___.
Skip in 10
The current ratio is a liquidity ratio that measures a company's ability to pay short-term and long-term obligations. To gauge this ability, the current ratio considers the total assets of a company (both liquid and illiquid) relative to that company’s total liabilities.
The formula for calculating a company’s current ratio, then, is:
Current Ratio = Current Assets / Current Liabilities
________ __________ ______ ________ ________ ________ _____.
______ ______ _________ __________ ___.
________ _____ ___ _________ __________ _________ ____ _______ ______ ______.
___ ___ __________ _________ _____ ___ ______ _______ __________ _________ ______.
______ _____ ________ ____ _____ _________.
_________ _________ _______ __________ ____ ________ ___.
_____ _________ __________ __________ ______ ___ _____ ____ ____ ____ ________.
__________ _________ _____ _____ _________ _____ _________.
____ ____ ________ _______ _________ __________ ________ ____ ____ __________ ______ _______.
______ ___ ____ ________ ___ ______ ___ _____.
_________ __________ ___ ________ ____ ________ _______.
_______ _____ _________ ___ ______ ____ ________ ________ _________ _______.
_______ _________ ______ ____ _________ __________ ___ __________.
______ _________ ________ _________ ______ _________ ___ _____ _________ ___.
IGNOU ACADEMY
Your IGNOU journey, made easier.
- Solved Assignments
- Study Notes
- Guess Papers
- Question Papers
Continue Reading — It's Free
Sign in with Google to unlock more of this answer.
✓ Free access
✓ Unlock up to 60% of the answer
✓ No payment required
✓ Unlock up to 60% of the answer
✓ No payment required
Quick Google sign-in. No separate registration form.