If a company has a current ratio greater than one then there is no chance it will go bankrupt in the next year.

Name: If a company has a current ratio greater than one then there is no chance it will go bankrupt in the next year.
Brand: Quizplus
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Question

Quizplus · Accepted Answer

The current ratio is just one of many financial indicators that contribute to a company's financial health. A company with a current ratio greater than one may still be at risk of bankruptcy if it has significant long-term debt, poor cash flow, or other financial challenges.

If a Company Has a Current Ratio Greater Than One