Dormont, Inc., a supplier, is thinking of extending credit to a Fab Company but decides not to because the Fab's current ratio is only 0.60.Do you agree with the supplier's decision? What other factors need to be considered in drawing any conclusions about a company's liquidity?

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The Answer of Dormont, Inc., a supplier, is thinking of extending credit to a Fab Company but decides not to because the Fab's current ratio is only 0.60.Do you agree with the supplier's decision? What other factors need to be considered in drawing any conclusions about a company's liquidity?