Question
The Quick Ratio (or Acid-Test Ratio) is a more stringent
measure of liquidity than the Current Ratio because it:Solution
The Quick Ratio is calculated as (Current Assets - Inventory - Prepaid Expenses) / Current Liabilities. It excludes inventory because it is typically the least liquid current asset and may not be easily convertible to cash in the short term to meet immediate obligations. This makes it a more conservative test of short-term liquidity.
Which Indian initiative was launched as the world’s first government-funded multimodal Large Language Model (LLM) project in 2024?
How many gold medals did Indian shooters win at the 2024 ISSF Junior World Shooting Championship, and where was the event held?
According to the Tomato Traffic Index 2023, which Indian city experiences the highest traffic congestion?
The funding pattern of MGNREGA involves both the Central and State governments. Which of the following expenses is NOT covered by the central government...
Which Software company has integrated its e-commerce platform with the government’s e-commerce project Open Network for Digital Commerce (ONDC) as a t...
The Department of School Education signed an MoU with which organization to develop an institutional framework for Rashtriya e-Pustakalaya?
Recently Ministry of MSMEs has appointed which institution as the implementing agency for the ‘ Capacity Building of First Time MSE Exporters&rsqu...
Who among the following has/have been bestowed upon Lisbon Triennale Lifetime Achievement Award?
The Indian Council of Medical Research (ICMR) signed an MoU with NTPC Vidyut Vyapar Nigam to install rooftop solar panels in how many of its institutes?
Which company received RBI approval to become a Core Investment Company (CIC)?
