BUSN 5200 QD F2 2022: If the trend of the current ratio is increasing, while the trend of the acid-test ratio is decreasing over a period of time, this could be a warning that the firm is:

Posted: December 21st, 2022

If the trend of the current ratio is increasing, while the trend of the acid-test ratio is decreasing over a period of time, this could be a warning that the firm is:

Depleting its inventories

Having trouble collecting its receivables

Paying “extra” dividends

Carrying excess inventories

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