Vidyalelo
Commerce · Q2874

Accounting

Graduate and Post Graduate · Commerce · question 2874

Q2874

To test the liquidity of a concern, which of the following ratios are useful? I. Acid test ratio II. Capital turnover ratio III. Bad debts to sales ratio IV. Inventory turnover ratio Select the correct answer using the options given below:

A.
I and III
B.
I and IV
Answer
C.
II and IV
D.
II and III

Answer: Option B

Solution

Answer: Option B
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