The higher the cash to current liabilities ratio of a company, the better is the company.

Name: The higher the cash to current liabilities ratio of a company, the better is the company.
Brand: Quizplus
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Question

Quizplus · Accepted Answer

A higher cash to current liabilities ratio indicates that a company has more cash available to cover its short-term obligations, which is generally positive. However, it doesn't necessarily mean the company is better overall, as it may not be using its cash efficiently for growth or investment.

The Higher the Cash to Current Liabilities Ratio of a Company