Ace Company is a retail store. Due to competition, it is having trouble selling its products. Thus, inventory has been building up. Aces current ratio has not changed for the past three years, in spite of the inventory build up. Which of the following statements is true?\ \ Select answer from the options below\ \ Since inventory is a current asset, any increases should automatically cause the current ratio to rise.\ \ \ The composition of current assets and current liabilities does not matter.\ \ \ As long as the current ratio remains constant, there is no need for concern.\ \ \ The management of Ace should consider the effect of slow moving inventory on its liquidity.