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QUESTION
Which of the following is not a correct way of calculating a liquidity ratio?
Which of the following is not a correct way of calculating a liquidity ratio?
A- Current Ratio = Total Assets / Total Current Liabilities
B- Liquidity Ratio = Liquid Assets / Short-term Liabilities
C- Operating Cash Flow = Current Liabilities / Operating Cash Flow
D- Quick Ratio = (Current Assets - Inventories - Prepayments) / Current Liabilities
