A company with a current ratio less than one or negative net working capital would not be able to pay its bills on time.

Name: A company with a current ratio less than one or negative net working capital would not be able to pay its bills on time.
Brand: Quizplus
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Question

Quizplus · Accepted Answer

A company with a current ratio less than one or negative net working capital might still be able to pay its bills on time if it has access to other sources of liquidity, such as a line of credit, or if it can quickly convert its assets to cash.

A Company with a Current Ratio Less Than One or Negative