If a company revaluates its fixed assets, the current ratio of the company will:
ARemain unaffected
BImprove if assets are revalued downwards
CUndergo change only if liabilities are remaining constant
DImprove if assets are revalued upward
Correct answer
A. Remain unaffected
Explanation
Remain unaffected is the correct answer. Review the question and compare it with the other choices to remember this fact for future exams.