Select the Incorrect Statement Regarding the Quick Ratio

question 40

Multiple Choice

Select the incorrect statement regarding the quick ratio:

• A)The quick ratio is also known as the acid-test ratio.
• B)The quick ratio equals quick assets divided by total liabilities.
• C)The quick ratio is a conservative variation of the current ratio.
• D)The quick ratio ignores some current assets that are less liquid than others.

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Definitions:

Infant Mortality

The death of babies under one year of age, often used as an indicator of the health and well-being of populations.

Cardiovascular Problems

Health conditions related to the heart and blood vessels, including coronary artery disease, heart attack, stroke, and hypertension.

Abnormal Sperm

Sperm with atypical features, such as irregular shape, poor motility, or compromised viability, which may affect male fertility.

Placenta

An organ that develops in the uterus during pregnancy, providing oxygen and nutrients to and removing waste from the developing fetus through the umbilical cord.