Financial Statements Analysis

Higher current ratio is better. E.g 2 is better than 1

• True

• False

Higher quick ratio is better. E.g 2 is better than 1

• True

• False

Higher inventory turnover ratio is better. E.g 12 is better than 10

• True

• False

Higher trade receivables turnover ratio is better. E.g 12 is better than 10

• True

• False

Higher collection days for trade receivables is better. E.g 50 days is better than 40 days

• True

• False

Higher days in sales for inventory is better. E.g 50 days is better than 40 days

• True

• False