What is current ratio?

A. Current Ration/Inventory
B. Current Assets/Sales
C. Current Assets/Current Liabilities
D. None of these

Brief facts about this MCQs:

Current ratio is also better known as liquidity ratio. This ration is used by the financial analysts to check the financial capacities of a firm i.e. in how much time a company can pay its short term debt e.g. liabilities that are due within one year.
Also Read: Sales Return Book

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