Quick Ratio is also known as:
Answer & explanation
Correct answer: option 2
The correct answer is Option (2) - Acid-Test Ratio.
Quick Ratio is also known as Acid-Test Ratio.
Quick ratio is the ratio of quick (or liquid) asset to current liabilities.
It is expressed as Quick ratio = Quick Assets / Current Liabilities.
It is also known as acid test ratio or liquid ratio.
Its ideal ratio is 1:1.