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CURRENT RATIO

This topic has 3 replies, 2 voices, and was last updated 6 years ago by MikeLittle.

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June 21, 2016 at 3:43 pm #323737
fazeel93
Member
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I was wondering whether we should take the liabilities and assets of a disposal group which we would be presented in current liabilities and current assets respectively in current ratio calculation of the company
June 21, 2016 at 4:34 pm #323741
MikeLittle
Keymaster
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I don’t categorically know but common sense says that you should omit the results, assets and liabilities from all the ratio analyses
June 22, 2016 at 10:22 am #323795
fazeel93
Member
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What abt profit from discontinued operations should that be included in net profit?
June 22, 2016 at 11:36 am #323797
MikeLittle
Keymaster
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What did you not understand about my post “I don’t categorically know but common sense says that you should omit the results, assets and liabilities from all the ratio analyses”?
What do you interpret as the meaning of the word “results”?
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