_________ is also known as working capital ratio.

A. Current ratio

B. Quick ratio

C. Liquid ratio

D. Debt-equity ratio

Answer: Option A

Solution(By Examveda Team)

Current ratio is also known as working capital ratio. The working capital ratio is commonly used to assess a company's financial performance. Low working capital ratio values, near one or lower, can indicate serious financial problems with a company. The working capital ratio reveals whether the company has enough short-term assets to pay off its short-term debt.