Ch 4: Completion of the Accounting Cycle (14 of 20) Q 4.14: What does a current ratio of 1.20:1 mean? A for every dollar of current liabilities, a company has $1.00 of current assets B for every dollar of current liabilities, a company has $1.20 of current assets for every $1.20 of current liabilities, a company has $1.00 of current assets D for every $1.20 of current liabilities, a company has $1.20 of current assets Markforce Confidence 9 SU Type here to search Bi F9 F10 F11 F12 Q4.15: The difference between current assets and current liabilities is A working capital. B shareholders' equity. C profits. D owner's capital