Table 3.2
Dana Dairy Products Key Ratios Income Statement
Dana Dairy Products
For the Year Ended December 31,2019 Balance Sheet
Dana Dairy Products
December 31,2019
-Since 2018,the liquidity of Dana Dairy Products ________.(See Table 3.2)

Question

Table 3.2
Dana Dairy Products Key Ratios  Income Statement
Dana Dairy Products
For the Year Ended December 31,2019  Balance Sheet
Dana Dairy Products
December 31,2019 
-Since 2018,the liquidity of Dana Dairy Products ________.(See Table 3.2)

Quizplus · Accepted Answer

We cannot determine the liquidity of Dana Dairy Products for the year 2018 as the ratios for that year are not provided in Table 3.2. Therefore, we can only compare the liquidity ratios for the year 2019 with the industry averages to determine how the liquidity has changed. The current ratio and quick ratio for Dana Dairy Products are both lower than the industry averages, indicating a decrease in liquidity compared to the industry. Therefore, the best choice is A which indicates the liquidity has deteriorated.

Table 3.2 Dana Dairy Products Key Ratios Income Statement