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Assignment
Q1-
a) Liquidity ratio is calculated by dividing the current assets by current liabilities. Liquidity ratio helps to understand the capability of an individual or a business to pay off its short term liabilities without raising additional capital from external sources. The focus is on short term debt in this ratio and helps to understand the short term financial strength of an individual or a business.
b) From the above data, we will use debt payment (with mortgage) and debt payment (without mortgage) to calculate the current liabilities. It is obtained from the budget. And to calculate the quick assets we will use monetary assets obtained from the balance sheet.
c) Liquidity Ratio =...