A Current Ratio of 2

question 96

True/False

A current ratio of 2.0 is desirable and it means that a firm has twice as many current liabilities as current assets.

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Definitions:

Electra Complex

A psychoanalytic theory proposed by Freud, suggesting a girl's psychosexual competition with her mother for possession of her father.

Freudian Slip

An unintentional error in speech or action that is interpreted as revealing subconscious thoughts or desires.

Repressed Memory

A theory suggesting that memories of traumatic events may be stored in the unconscious mind and inaccessible to conscious recall.

Archetype

A universally understood symbol, term, or pattern of behavior, often derived from literature and psychology, representing a typical example of a particular thing.