Which of the Following Ratios Would Be the Most Useful

question 97

Multiple Choice

Which of the following ratios would be the most useful in evaluating the ability of a firm to meet its short-term obligations?

• A) The quick ratio (acid test)
• B) Return on equity
• C) Total asset turnover
• D) Operating profit margin

---

Definitions:

Project Management

The application of knowledge, skills, tools, and techniques to project activities to meet project requirements.

Quality Goals

Targets set to achieve a specific standard of quality in products or services, often aligned with customer expectations and regulatory requirements.

Project Manager

A professional responsible for planning, executing, and closing projects, ensuring they meet the predefined objectives.

Critical Path

The computed longest time path(s) through a network.