A company has a quick ratio of 2.3 and a current ratio of 2.8. Industry averages are 2.0 for the quick ratio and 3.1 for the current ratio. Which of the following statements is most likely true? Question options: The company has less inventory than the industry benchmark. The company has more receivables than the industry benchmark. The company has less receivables than the industry benchmark. The company has more inventory than the industry benchmark.
A company has a quick ratio of 2.3 and a current ratio of 2.8. Industry averages are 2.0 for the quick ratio and 3.1 for the current ratio. Which of the following statements is most likely true? Question options: The company has less inventory than the industry benchmark. The company has more receivables than the industry benchmark. The company has less receivables than the industry benchmark. The company has more inventory than the industry benchmark.
Century 21 Accounting Multicolumn Journal
11th Edition
ISBN:9781337679503
Author:Gilbertson
Publisher:Gilbertson
Chapter20: Accounting For Inventory
Section: Chapter Questions
Problem 1ANFS
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Question
A company has a quick ratio of 2.3 and a
Question options:
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The company has less inventory than the industry benchmark. |
|
The company has more receivables than the industry benchmark. |
|
The company has less receivables than the industry benchmark. |
|
The company has more inventory than the industry benchmark. |
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