Financial & Managerial Accounting Custom Edition For University Of South Dakota Volume 2, 1/e
Financial & Managerial Accounting Custom Edition For University Of South Dakota Volume 2, 1/e
1st Edition
ISBN: 9781323402399
Author: MILLER-NOBLES
Publisher: Pearson Education
Question
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Chapter 7, Problem 10QC
To determine

Cash ratio: Cash ratio is a financial ratio which measures the liquidity of a company. It is determined mainly to know the ability of the company towards paying the current liabilities from the available cash and cash equivalents.

Formula:

Cash ratio=Cash + Cash equivalentsTotal current liabilities

E’s cash ratio

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Chapter 7 Solutions

Financial & Managerial Accounting Custom Edition For University Of South Dakota Volume 2, 1/e

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