A Current Ratio of Less Than One Is Not So

question 40

Multiple Choice

A current ratio of less than one is not so much of a concern when the company has a:

• A)low fixed asset turnover ratio.
• B)high days to collect number.
• C)high inventory turnover ratio.
• D)high debt-to-equity ratio.

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Definitions:

Megaspores

Large spores produced by some plants that develop into female gametophytes, part of the reproductive cycle.

Microphylls

Simple, small leaves with a single vein, found on some plant species including lycophytes.

Stem Branches

Extensions or subdivisions arising from the main body of a plant's stem, which support leaves, flowers, and fruits.

Hepaticophyta

A division of non-vascular plants commonly known as liverworts, named for their liver-shaped gametophytes.