What is the current ratio


A company has a total assets of $120,000, current assets of $80,000, total liabilities of $50,000 and current liabilities of $25,000. What is the current ratio?

a)4.80 to 1

b)3.20 to 1

c)2.40 to 1

d)1.60 to 1

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Accounting Basics: What is the current ratio
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