Which the best sentence reflect the decrease in trade

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Reference no: EM132772022

Problem 1: the best sentence reflect the decrease in trade receivables balance at the end of the year :

Select one:

a. decrease the current ratio

b. decrease the quick ratio.

c. increase the current ratio and quick ratio

d. decrease the current ratio and quick ratio.

Problem 2: all of below related to the current ratio interpretation except:

Select one:

a. the norm is 2:1 current ratio.

b. determine how quickly the firm can repay short-term debt by cash.

c. it measures the liquidity of the firm.

d. how many dollars of current assets firm has to current liabilities.

Reference no: EM132772022

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