You analyzed a firms financial statement for short-term


You analyzed a firm's financial statement for short-term credit worthiness. Hence, you computed its liquidity ratio over the last three years. You noticed that the firm experienced a decrease in current ratio but an increase in quick ratio during the three-year period. What are some likely explanations for these results?

Response should be at least 3 paragraphs

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Finance Basics: You analyzed a firms financial statement for short-term
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