Match the following-

1) c, 2) a, 3) b, 4) d

* Current ratio- In general, investors look for a company with a current ratio of 2:1, meaning current assets twice as large as current liabilities. A current ratio less than one indicates the company might have problems meeting short-term financial obligations.

* Quick ratio- Ratio of 1:1 is held to be the ideal quick ratio indicating that the business has in its possession enough assets which may be immediately liquidated for paying off the current liabilities.

* Inventory- While calculating quick assets we exclude the inventories at the end and other current assets such as prepaid expenses, advance tax, etc., from the current assets.

* Equity- Solvency ratios are calculated to determine the ability of the business to service its debt in the long run. While determining solvency ratio equity is used.