If a company has current assets of $15,000 and current liabilities of $9,500, its current ratio is 1.6.
Current Ratio = Current Assets/Current Liabilities
Current Ratio = $15,000/$9,500 = 1.6

Question

Quizplus · Accepted Answer

The calculation of the current ratio provided in the statement is correct and yields a result of 1.6, which is consistent with the definition of this financial ratio. Therefore, the answer is A) True.

If a Company Has Current Assets of $15,000 and Current