Which of the following would be considered the weakest current ratio?
A) 0.55
B) 0.90
C) 1.25
D) 2.30

Name: Which of the following would be considered the weakest current ratio? A) 0.55 B) 0.90 C) 1.25 D) 2.30
Brand: Quizplus
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Question

Quizplus · Accepted Answer

A current ratio represents a company's ability to pay its short-term obligations. The higher the ratio, the better the company's ability to pay. Therefore, the weakest current ratio would be the smallest one, which in this case is option A with a ratio of 0.55.

Which of the Following Would Be Considered the Weakest Current