Which of the following indicates a firm will be able to pay its bills in a satisfactory manner?
Which of the following indicates a firm will be able to pay its bills in a satisfactory manner?
A.
A current ratio of 2:1 or higher
B.
An activity ratio of 5:1 or less
C.
A net income to common shares outstanding ratio of 1:1 or less
D.
A debt to equity ratio of 1:1 or higher
E.
A profitability ratio of 5:1 or higher
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