Short term liquidity is measured by liquidity ratios. Current Ratio (E) and Acid Test/Quick Ratio (B) are the two key short-term liquidity ratios. Return on Equity (A) is profitability, Sacrificing Ratio (C) relates to partnership, and Inventory Turnover Ratio (D) is an activity/efficiency ratio. Hence B and E only.
Make the right combination of the ratios that enables to find the short term liquidity A. Return on Equity B. Acid Test Ratio C. Sacrificing Ratio D.…
CUET UG 2022 — Accountancy Financial Statements
2022mcqeasy
Make the right combination of the ratios that enables to find the short term liquidity
A. Return on Equity
B. Acid Test Ratio
C. Sacrificing Ratio
D. Inventory Turnover Ratio
E. Current Ratio
Choose the correct answer from the options given below:
Official previous-year question
Held on 16 Jul 2022 · Verified 13 Jul 2026.
Options
- A
B and E only
- B
A and C only
- C
A and E only
- D
C and D only
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