Question
Firm X and Y have the same quick ratio, but Firm X has
a greater current ratio than Firm Y. Compared to Firm Y, it is most likely that Firm X has:Solution
"Inventory is not included in quick assets while calculating the quick ratio. But inventory is included in the numerator while calculating the current ratio. So, an increase in the numerator for Firm X because of greater inventory makes its current ratio more than Firm Y. Accounts payable are included in current liability, and it’s the same in the case of quick ratio and current ratio. We do not have full information about turnover ratios so can not comment on that. Therefore, greater inventory for Firm X will result in a higher current ratio"
Select the combination of letters that when sequentially placed in the blanks of the given series will complete the series.
_ BCD _ _ ABC _ _ E _...
A series is given with one term missing. Select the correct alternative from the given ones that will complete the series.
XP, ? BL, DJ, FH
Three of the following four letter-clusters are alike in a certain way and one is different.
Pick the odd one out.Â
Select the option that represents the letters that, when sequentially placed from left to right in the blanks below, will complete the letter series.
If in a code language, 'HOME' is written as 'LROF' and 'EYE' is written as 'HAF' and 'SO' is written as 'UP', how will 'HOUSE' be written in that language?
Which two signs should be interchanged to make the given equation correct?
32 + 14 × 3 – 91 ÷ 7 = 3
A, B, C, D, E, F, and G, are sitting around a circular table facing the centre (but not necessarily in the same order). Only 2 people sit between A and ...
A paper is folded and cut as shown below. How will it appear when unfolded?
Three statements are followed by three conclusions numbered I, II and III. Assuming the statements to be true even if they do not conform to real-world ...
Circle : Sphere :: Square : ?
