Which of the Following Is the Formula to Compute the Current

question 69

Multiple Choice

Which of the following is the formula to compute the current ratio?

• A)(Cash + short-term investments + net current liabilities)/current liabilities
• B)(Current liabilities +short-term investments + net current receivables)divided by current assets
• C)Current assets/current liabilities
• D)Current liabilities/current assets

---

Definitions:

Afferent

Relating to or denoting nerve fibers that carry sensory information toward the central nervous system.

Central

Being at the most important or core position; of primary importance or relevance.

Sensory

Pertaining to the senses or sensation.

Afferent Nerves

Nerves that carry sensory signals from the body's periphery towards the central nervous system, including the brain and spinal cord.