The following balances were taken from the company's records:
-Refer to Bass Tours. If the average current ratio for similar companies is 2 to 1, what does this tell you about this company's liquidity?
A) The company is more liquid than its competitors.
B) The company has more long-term assets than its competitors.
C) The company is bankrupt.
D) The company is more profitable than its competitors.
Correct Answer:
Verified
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A)measures the ability of the firm to
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