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JB Enterprises has $2.5 million of current assets and $1.5 million of current liabilities. Therefore, their current ratio is 1.67. What would the current ratio be if they decide to use $500,000 of cash
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9 votes
9 votes
JB Enterprises has $2.5 million of current assets and $1.5 million of current liabilities. Therefore, their current ratio is 1.67. What would the current ratio be if they decide to use $500,000 of cash to reduce current accounts payable

User Chase Sandmann
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30 votes
30 votes
It would be a 2.5 ratio
User Dominik Suszczewicz
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