Higher Quick Ratio is not Always Good

Quick Ratio
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Khin Thit Yee, Myanmar

Higher Quick Ratio is not Always Good

Higher quick ratio is not always a good thing. It might indicate that the business is over-trading and it need to manage its working capital, especially accounts receivables management to prevent unnecessary bad debts.

 

More on Quick Ratio:
Summary
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Quick Ratio over Time
Quick Ration in Banking
👀Higher Quick Ratio is not Always Good
Why ACID Test Ratio?
🔥Alternate Formula of Quick Ratio?
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Quick Ratio
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