Intermediate Financial Accounting Chapter 5

FA Chapter 5

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Side ASide B
calculate: Current ratio
Current Assets / current liabilitiesindicates ability to meet short term debt, the higher it...
calculate: Debt to total Assets Ratio
(short + long term debt) / total assetsshows how much of the company's assets have been financed...
calculate: acid test ratio
(cash, marketable securities, receivables) / average current liabilitiesThe ratio of current...
calculate: Current Cash Debt Coverage
(net cash provided by operating activities) / average current liabilities

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