Chapter 12 Flashcards
(5 cards)
1
Q
Financial Ratio
A
The measurement of relative magnitude between two values taken from financial statements
2
Q
Liquidity Ratios
A
measure ability to meet demands as the come up in future
3
Q
Good current ratio
A
2:1
4
Q
Quick assets
A
Cash
Short term investments
Acc receivable
5
Q
Good acide test ratio
A
1:1
