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Business Miss Cork > measuring liquidity > Flashcards

measuring liquidity Flashcards

1
Q

current ratio

A

current assets / current liabilities

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2
Q

liquid capital ratio

A

current assets – inventory / current liabilities

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3
Q

trade payable days

A

trade payables / credit purchase x 365

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4
Q

trade receivable days

A

trade receivable/credit sales x 365

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Business Miss Cork (8 decks)

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