CFA Practice Question

There are 534 practice questions for this study session.

CFA Practice Question

If a firm has a great deal of inventory built up, which of the following ratios would be the largest?
A. Current ratio
B. Cash ratio
C. Quick ratio
Explanation: The current ratio is the only one out of the current, cash, and quick ratios that has current assets in the numerator, making it the largest of the three ratios.

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