=+16. Favorable business conditions may bring about cer tain seemingly unfavorable ratios, and unfavorable business operations may
Question:
=+16. Favorable business conditions may bring about cer¬
tain seemingly unfavorable ratios, and unfavorable business operations may result in apparently favor¬
able ratios. For example, Trivec Company increased its sales and net income substantially for the current year, yet the current ratio at the end ofthe year is lower than at the beginning of the year.
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