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1. The quick ratio is considered more useful than the current ratio for: a Evaluating the profitability of a business that sells inventory very quickly,
1.The quick ratio is considered more useful than the current ratio for:
aEvaluating the profitability of a business that sells inventory very quickly, such as a restaurant.
bEvaluating the solvency of a business that turns inventory into cash very slowly, such as a shipbuilder.
cEvaluating long-term credit risk.
dEvaluating investors' expectations concerning future earnings.
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