question_answer

The quick ratio of a company is 2 : 1. State giving reasons which of the following would improve, reduce or not change the ratio :

(i) Purchase of machinery for cash

(ii) Sale of furniture at cost

(iii) Sale of goods at a profit

(iv) Cash received from debtors

Identify the value which is being shown by the liquid ratio of 2 : 1.

Answer:

Not Available