Which one of the following would not be considered a liquidity ratio?
A) Current ratio
B) Inventory turnover
C) Acid-test ratio
D) Return on assets

Question

Quizplus · Accepted Answer

Return on assets is not a liquidity ratio, it is a profitability ratio. Liquidity ratios measure a company's ability to meet its short-term obligations and include the current ratio, inventory turnover, and acid-test ratio.

Which One of the Following Would Not Be Considered a Liquidity