5 Questions
Which ratio is also known as the acid test ratio?
Quick Ratio
Which ratio compares a company's current assets to its current liabilities?
Current Ratio
Which assets are included in the quick ratio calculation?
Cash, marketable securities, and receivables
What does the quick ratio exclude from the calculation?
Inventory and prepayments
How is the quick ratio different from the current ratio?
The quick ratio excludes inventory and prepayments
Test your knowledge of financial ratios with this quiz on Liquidity Ratios. Learn about the current ratio and quick ratio, and understand how these ratios can assess a company's overall liquidity.
Make Your Own Quizzes and Flashcards
Convert your notes into interactive study material.
Get started for free
