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The ratio of current assets to current liabilities is called the?
The ratio between current assets to current liability is called "Current Ratio".
What will this do to its current ratio If a company has a current ratio of 2 to 1 and purchases inventory on credit?
Because inventory adds nothing to the numerator of the ratio and the increased liability adds to the denominator, a purchase of inventory on credit will decrease the quick ratio.
How can you describe a current liability turnover ratio?
shows how your short term liabilities are able to generate income
What is the debt ratio is total assets are 136000 equity is 31000 current liability is 24000 and total liabilities are 105000?
Debt to Equity ratio =Total liabilities / equity Debt to equity ratio = 105000 / 31000 = 3.387
What is the current ratio if the current asset beginning is 500 and ending is 1000 and current liability is 400?
It is assumed that current liabilities are also ending balance current ratio = current assets/current liabilities current ratio = 1000/400 = 2.5 times
What is the formula for current ratio?
current ratio = current asset divided by current liability
The ratio of current assets to current liabilities is called the?
The ratio between current assets to current liability is called "Current Ratio".
What will this do to its current ratio If a company has a current ratio of 2 to 1 and purchases inventory on credit?
Because inventory adds nothing to the numerator of the ratio and the increased liability adds to the denominator, a purchase of inventory on credit will decrease the quick ratio.
What is the ratio of the insurance cost of Worker's Comp to Liability Insurance?
Usually workers comp is less than the Liability Insurance. The Liability is based off of the gross receipts where as the workers comp is the number of employees and their hourly rate.
How can you describe a current liability turnover ratio?
shows how your short term liabilities are able to generate income
What is the debt ratio is total assets are 136000 equity is 31000 current liability is 24000 and total liabilities are 105000?
Debt to Equity ratio =Total liabilities / equity Debt to equity ratio = 105000 / 31000 = 3.387
What is the current ratio if the current asset beginning is 500 and ending is 1000 and current liability is 400?
It is assumed that current liabilities are also ending balance current ratio = current assets/current liabilities current ratio = 1000/400 = 2.5 times
What effect does the declaration and payment of a cash dividend have on total liabilities and debt to equity ratio?
A dividend becomes a liability only after it has been declared. The debt to equity ratio changed because your liabilities after the declaration went up.
If current assets are 150 total assets are 350 current liabilities are 65 and total liabilities are 100 what is the current ratio rounded to two digits?
The Asset/Liability Ratio is one of the easiest to figure: Current Ratio = Current Assets/Current Liabilities According to your question that should be: Current Ratio = 150 / 65 Current Ratio = 2.31 (rounded to two digits)
How do you find the required reserve ratio?
the portion of a deposit that a bank must keep on hand
What is an strategic liability?
A strategic liability is a liability that is strategic.
Is Creditors an asset or liability?
Current Liability
