If a firm has a high current ratio but a low acid-test ratio, one can...

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Accounting

If a firm has a high current ratio but a low acid-test ratio, one can conclude that:

a

the firm has a large outstanding accounts receivable balance.

b

the firm has a large investment in inventory.

c

the firm has a large amount of current liabilities.

d

the firm's financial leverage is very high.

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