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The quick ratio improves upon the current ratio by using more up - to - date information. subtracting intangible assets like goodwill. recognizing that inventory

The quick ratio improves upon the current ratio by
using more up-to-date information.
subtracting intangible assets like goodwill.
recognizing that inventory is the current asset that is easiest to value.
recognizing that inventory is the least liquid current asset.
simplifying the calculation.
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