Question
A company has a current ratio of 07:1 Which ONE of the following explanations would explain why this ratio is lower than the industry
A company has a current ratio of 07:1 Which ONE of the following explanations would explain why this ratio is lower than the industry average of 1.4 1? ABCD [ [ ] [ 1 [ ] The company has used its cash balance to buy goods for resale The company has collected several amounts owed to it by customers early The company's overdraft has become a positive cash balance The company has used its cash balance to purchase new machinery
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