Examlex
Which of the following methods did Cattell develop?
Acid-test Ratio
A stringent measure of liquidity that evaluates a company's ability to cover its short-term liabilities with its most liquid assets.
Receivable Turnover
A financial metric that measures how quickly a company collects payments from its customers by comparing sales to accounts receivable.
Inventory Turnover
A ratio showing how many times a company's inventory is sold and replaced over a particular period, indicating the efficiency of inventory management.
Current Ratio
A liquidity measure that indicates a company's ability to pay short-term obligations with its current assets.
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