A trader provided the following information about his current ratio: Year 1 1.45 : 1 Year 2
Question:
A trader provided the following information about his current ratio:
Year 1
1.45 : 1
Year 2
1.75 : 1
Year 3
2.00 : 1
What would explain the change in this ratio?
A. Decrease in cash at bank
B. Decrease in inventory
C. Decrease in trade payables
D. Decrease in trade receivables
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D Decrease in trade receivables EXPLANATIN The curre...View the full answer
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Related Book For
Cambridge IGCSE And O Level Accounting Coursebook
ISBN: 9781316502778
2nd Edition
Authors: Catherine Coucom
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