Which of the Following Ratios Is Also Known as Acid

question 129

Multiple Choice

Which of the following ratios is also known as acid test?

• A) Current Ratio
• B) Debt Ratio
• C) Asset Turnover Ratio
• D) Inventory Turnover Ratio
• E) Quick Ratio

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Definitions:

Outsourcing

The business practice of hiring external vendors to perform tasks, handle operations, or provide services that are either difficult to manage or outside of the company's core competencies.

Logistics Function

The process of planning, executing, and controlling the efficient, effective forward and reverse flow and storage of goods, services, and related information between the point of origin and the point of consumption to meet customer requirements.

Third Party

An entity involved in a transaction or process that is neither the primary nor secondary party, often providing intermediary services or products.