Differences between the current and quick and cash ratios

Reference no: EM131342707

1. Describe the circumstances under which the current, quick, and cash ratios, respectively, are more appropriate measures of short-term liquidity than the other ratios?

2. Describe the differences between the current, quick, and cash ratios. Which one is the most conservative measure of short-term liquidity?

3. How does the rationale for the operating cash flow ratio differ from the rationale for the current, quick, and cash ratios?

Reference no: EM131342707

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