The Current Ratio of a Firm with Current Assets of $300,000

question 4

Multiple Choice

The current ratio of a firm with current assets of $300,000, current liabilities of $100,000, and inventory of $100,000 is:

• A) 1
• B) 2
• C) 3
• D) 4

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Definitions:

Expensive Item

An object that is high in price or costs a significant amount of money, often implying it is of high quality or value.

Federal Hazardous Substances Act

A United States federal law that regulates the labeling and handling of hazardous substances to ensure consumer safety.

Warning Labels

Notices affixed to products providing information about potential risks or dangers associated with their use.

Dangerous Substances

Materials or chemicals that pose a risk to health, safety, property, or the environment due to their toxic, corrosive, flammable, or explosive nature.