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Which financial ratio is computed by dividing current assets by current liabilities?
saratoga 22
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Which financial ratio is computed by dividing current assets by current liabilities?
Which financial ratio is computed by dividing current assets by current liabilities?
▸ quick ratio
▸ debt to equity
▸ accounts receivable turnover
▸ current ratio
Textbook
Auditing and Assurance Services
Edition:
17
th
Authors:
Arens, Elder, Beasley, Hogan
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current ratio
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The current ratio is calculated by dividing the current liabilities by the current assets.
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A high current ratio indicates that current liabilities are greater than current assets.
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Current assets divided by current liabilities yields the:
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The debt ratio is computed by:
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The current ratio is computed by:
The current ratio is calculated as follows: current liabilities divided by current assets.
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The current ratio is calculated by dividing total current liabilities by total current assets. ...
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________ ratio is calculated by dividing current assets by current liabilities.
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