A liquid asset can be converted quickly to cash with little sacrifice in its value. Which of the following asset classes is generally considered to be the least liquid? Inventories Plant and equipment Accounts receivable The most recent data from the annual balance sheets of Free Spirit Industries Corporation and LeBron Sports Equipment Corporation Balance Sheet December 31"t (Millions of dollars) Free. Spirit Industries Corporation's quick ratio is and its current ratio is ; LeBron Sports Equipment Corporation's quick ratio is , and its current ratio is Which of the following statements are true? Check all that apply. LeBron Sports Equipment Corporation has a better ability to meet its short-term liabilities than Free Spirit industries Corporation. If a company's current liabilities are increasing faster than its current assets, the company's liquidity position is weakening. An increase in the quick ratio over time usually means that the company's liquidity position is improving and that the company is managing its short-term assets well. Compared to Free Spirit Industries Corporation, LeBron Sports Equipment Corporation has less liquidity and a lower reliance on outside cash fiow to finance its short-term obligations. An increase in the current ratio over time always means that the company's liquidity position is improving. Free Spirit Industries Corporation's quick ratio is , and its current ratio is ratio is: and its current ratio is If a company's current liabilities are ing 0.9293 ster than its current assets, the company's liquidity position is weakening. An increase in the quick ratio over time usually means that the company's liquidity position is improving and that the company is managing its short-term assets well. Compared to Free Spirit Industries Corporation, LeBron Sports Equipment Corporation has less liquidity and a lower reliance on outside cash flow to finance its short-term obligations. An increase in the current ratio over time always means that the company's liquidity position is improving. Free Spirit Industries Corporation's quick ratio is , and its current ratio is LeBron Sports Equipment Corporation's quick ratio is , and its current ratio is Which of the following statements are true? Check all that apply. Lebron Sports Equipment Corporation has a better ability to meet its short-t 1.8335 fies than Free Spirit Industries Corporation. If a company's current liabilities are increasing faster than its current assets. 1.3335 fany's liquidity position is weakening. An increase in the quick ratio over time usualiy means that the company's liquidity position is improving and that the company is managing its short-term assets well, Compared to Free Spirit Industries Corporation, LeBron Sgorts Equipment Corporation has less liquidity and a lower reliance on outside cash flow to finance its short-term obligations. An increase in the current ratio over time always means that the company's ilquidity nosition is improving. Free Spirit Industries Corporation's quick ratio is rand its current ratio is LeBron Sports Equipment Corporation's quick ratio is and its current ratio is Which 0.9293 wing statements are true? Check all that epply, 1.1152 Sports Equipment Corporation has a better ability to meet its short-term liabilities than Free 5 pirit Industries Corporation. 1.3940 ppany's current liabilities are increasing faster than its current assets, the company's liquidity position is weakening. 0.7468 managing its short-term assets well. Compared to Free Spirit Industries Corporation, LeBron, 5 ports Equipment Corporation has less liquidity and a lower reliance on outside cash flow to finance its short-term obligations, An increase in the current ratio over time always means that the company's liquidity position is improving. Free Spirit Industries Corporation's quick ratio is rand its current ratio is ; LeBron Sports Equipment Corporation's quick ratio is and its current ratio is Which of the following statements are true? hat apply. managing its short-term assets well. Compared to Free Spirit Industries Corporation, LeBron Sports Equipment Corporation has less liquidity and a lower reliance on outside cash flow to finance its shert-term obligations. An increase in the current ratio over time always means that the company's liquidity pasition is imgroving
