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Rickos Rickos
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6 years ago
What is the reason for computing the acid test ratio in addition to the current ratio?
A) inventory is the most liquid of the liquid assets.
B) a firm's inventory may not be particularly liquid.
C) inventory is the best collateral for short term loans.
D) compared to accounts receivable, inventory balances may be difficult to verify
Textbook 
Financial Management: Principles and Applications

Financial Management: Principles and Applications


Edition: 13th
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David_hessDavid_hess
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6 years ago
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