Question: 1) How is the current ratio calculated? a. current assets minus current liabilities b. total assets divided by total liabilities c. total assets minus total

1) How is the current ratio calculated?

a.

current assets minus current liabilities
b.

total assets divided by total liabilities
c.

total assets minus total liabilities
d.

current assets divided by current liabilities

2) The common size income statement reports each income statement item as a percentage of

a.

net sales
b.

net income
c.

gross sales
d.

total assets

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