quick ratioa stringent indicator that determines


Quick ratio

A stringent indicator that determines whether a firm has enough short-term assets to cover its immediate liabilities without selling inventory. It is calculated as

(Current assets- Inventory)/ Current Liabilities

The quick ratio of Nick Holdings is better than that of the Fantastic holdings showing the ability of the company to pay its current liabilities without selling its inventory.

 

Request for Solution File

Ask an Expert for Answer!!
Electrical Engineering: quick ratioa stringent indicator that determines
Reference No:- TGS0210865

Expected delivery within 24 Hours