When Tri-C Corp

question 60

Multiple Choice

When Tri-C Corp.compares its ratios to industry averages, it has a higher current ratio, an average quick ratio, and a lower inventory turnover.What might you assume about Tri-C?

• A)its cash balance is too low.
• B)its cost of goods sold is too low.
• C)its current liabilities are too low.
• D)its average inventory is too high.