How Can a Company Improve Its Current Ratio

question 141

Multiple Choice

How can a company improve its current ratio?

• A) Work with a creditor to reclassify some current debt into long-term debt
• B) Use cash to reduce current liabilities
• C) Nothing can ethically be done to improve the current ratio
• D) Use excess cash to buy new equipment

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Definitions:

Thoughts

The mental process of considering, reasoning, or remembering; cognitive units that form the contents of the mind.

Behaviors

Observable actions or responses of an organism or system.

Anxiety

A feeling of worry, nervousness, or unease, typically about an imminent event or something with an uncertain outcome.

Abnormal Anxiety

Anxiety that is excessive, disproportionate to the actual threat or challenge, or persists beyond developmentally appropriate periods, often impacting daily functioning.