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A corporate loan applicant has cash of $40, receivables of $50, and inventory of $20. The applicant also has current debts of $65. If the

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A corporate loan applicant has cash of $40, receivables of $50, and inventory of $20. The applicant also has current debts of $65. If the bank's policy requires a current ratio of 175 or better and an acid test ratio of 1.25 or better would the applicant receive the loan? Multiple Choice Yes, because the applicant's current ratio and acid test ratios are acceptable No, because the applicant's current ratio and acid test ratios are both unacceptable. No, because although the applicant's current ratio is acceptable, its acid test ratio is not No, because although the applicant's acid test ratio is acceptable, its current ratio is not

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