The current ratio measures:
A) investments.
B) liquidity.
C) profitability.
D) use of assets.

Name: The current ratio measures: A) investments. B) liquidity. C) profitability. D) use of assets.
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Question

Quizplus · Accepted Answer

The current ratio measures a company's ability to pay its short-term obligations with its current assets. This ratio is often used to determine a company's liquidity or ability to meet its short-term obligations.

The Current Ratio Measures