Which of the following ratios is least likely to assist the auditor in determining whether the entity is experiencing financial difficulties?

Which of the following ratios is least likely to assist the auditor in determining whether the entity is experiencing financial difficulties? 



A. Net worth/total liabilities.
B. Cash/total assets.
C. Total liabilities/total assets.
D. Net income before taxes/net sales.


Answer: Cash/total assets.


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