In Order to Calculate the Current Ratio for Your Firm,you

question 282

Multiple Choice

In order to calculate the current ratio for your firm,you divide the total value of current assets by:

• A)Earnings per share.
• B)The total value of current liabilities.
• C)The total owners' equity.
• D)The total cost of goods solD.The current ratio is calculated by dividing current assets by current liabilities.[Current Ratio = Current Assets/Current Liabilities]

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