certain seemingly unfavorable ratios, and unfavorable busines operations may result in apparently favorable ratios. Example: G Company increased its sales and net income substantially for the current yr, yet the current ratio at the end of the yr is lower than at the beginning of the yr. what are causes of the weakening of the current position, while sales and net income have increased substantially.
Please any explanation would be helpful. Thanks!
Please any explanation would be helpful. Thanks!