A supplier,who requires payment within ten days,should be most concerned about which one of its customer's ratios?
A)Current ratio
B)Debt-equity ratio
C)Cash ratio
D)Quick ratio
E)Total debt ratio

Question

Quizplus · Accepted Answer

The cash ratio measures a company's ability to pay off its short-term liabilities with its cash and cash equivalents, which is crucial for a supplier requiring quick payment.

A Supplier,who Requires Payment Within Ten Days,should Be Most Concerned