Accounting for IGCSE & O level - Advanced Principles (Section 1 - No. 10)
What does a low quick ratio indicate?
A business's ability to pay all debts as they fall due.
Inability to pay short term debts.
An inability to use short term investments
The business has too much cash.
स्पष्टीकरण
A low quick ratio is an early warning sign of financial problems