Given that the current ratio is 2:1 and the assets and liabilities are $20,000 and $10,000 respectively. Now if an amount of $20,000 is added to assets and liabilities equally, which one is correct below? Oa. No Change in Current Ratio O b. Increase in the current ratio OC. Decrease in current ratio O d. The current ratio will double.

Given that the current ratio is 2:1 and the assets and liabilities are $20,000 and $10,000 respectively. Now if an amount of $20,000 is added to assets and liabilities equally, which one is correct below? Oa. No Change in Current Ratio O b. Increase in the current ratio OC. Decrease in current ratio O d. The current ratio will double.

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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