Accounting 9706 · AS & A Level · Analysis and communication of accounting information

Analysis and communication of accounting information — practice question

Which accounting ratio would not be suitable for judging a business’s capacity to settle its trade payables?

  • Acurrent ratio
  • Bexpenses to revenue ratio
  • Cliquid (acid test) ratio
  • Dtrade receivables turnover

Worked solution & mark scheme

This 1-mark question has a full step-by-step worked solution and mark scheme.

  • Full mark scheme, point by point
  • Step-by-step worked solution
  • Write your answer & get it marked instantly by AI