The current and quick ratios have two limitations. These ratios

a. emphasize the ineffectiveness of analysts' calculations, and focus on liquid assets at a point in time instead of a period of time.
b. focus on cash instead of working capital, and they represent a point in time instead of covering a period of time.
c. focus on working capital instead of cash, and they represent a point in time instead of covering a period of time.
d. are ignored by most creditors, and focus on working capital instead of cash.


c

Business

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