Company X is competing with company Y. These are their ratios: x y Current Ratio = .223 Current Ratio = .146 Cash Ratio = .057 Cash Ratio = .031 Quick Ratio = .105 Quick Ratio = .072 Based on liquidity and short term assets, which company is doing better?

Company X is competing with company Y. These are their ratios: x y Current Ratio = .223 Current Ratio = .146 Cash Ratio = .057 Cash Ratio = .031 Quick Ratio = .105 Quick Ratio = .072 Based on liquidity and short term assets, which company is doing better?

Cornerstones of Financial Accounting

4th Edition

ISBN:9781337690881

Author:Jay Rich, Jeff Jones

Publisher:Jay Rich, Jeff Jones

Chapter8: Current And Contingent Liabilities

Section: Chapter Questions

Problem 58BE: Liquidity Ratios JRLs financial statements contain the following information: Required: 1. What is...

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Question

Company X is competing with company Y. These are their ratios:

x	y
Current Ratio = .223	Current Ratio = .146
Cash Ratio = .057	Cash Ratio = .031
Quick Ratio = .105	Quick Ratio = .072

Based on liquidity and short term assets, which company is doing better?

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