Question
XBM Bikes Ltd. has a current ratio of 1.5 and a quick (acid test) ratio of 1.25. If it purchases inventory on credit for $250,000,
XBM Bikes Ltd. has a current ratio of 1.5 and a quick (acid test) ratio of 1.25. If it purchases inventory on credit for $250,000, its quick ratio will drop to 1. What will its current ratio be if it purchases the inventory on credit?
a) 1.20
b) 1.40
c) 1.50
d) 1.75
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Essentials Of Business Statistics Communicating With Numbers
Authors: Sanjiv Jaggia, Alison Kelly
1st Edition
9780078020544
