For most retail businesses the current ratio is significantly higher than the quick ratio. Why do you

Question:

For most retail businesses the current ratio is significantly higher than the quick ratio. Why do you think this is the case? To answer, think about what the of a retail business looks like, particularly the types of current assets that it has.

Balance Sheet
Balance sheet is a statement of the financial position of a business that list all the assets, liabilities, and owner’s equity and shareholder’s equity at a particular point of time. A balance sheet is also called as a “statement of financial...