As a short-term creditor concerned with a company's ability to meet its financial obligation to you, which one of the following combinations of ratios would you most likely prefer?

Financial Accounting Intro Concepts Meth/Uses
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ISBN:9781285595047
Author:Weil
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Chapter11: Notes, Bonds, And Leases
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As a short-term creditor concerned with a company's ability to meet its financial obligation to you, which one of the following combinations of ratios would you most likely prefer?

   Current                Debt
     ratio      TIE       ratio
 

Question 7 options:

 
1.0        1.0        0.50
 
2.5        0.5        0.71
 
1.5        1.5        0.50
 
2.0        1.0        0.67
 
0.5        0.5        0.33
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