Long-term creditors are usually most interested in evaluating
A) liquidity and solvency.
B) solvency and marketability.
C) liquidity and profitability.
D) profitability and solvency.

Question

Quizplus · Accepted Answer

Long-term creditors are primarily interested in the ability of the company to generate profits to meet its long-term obligations. Therefore, they focus on profitability and solvency. Liquidity and marketability may also play a role, but they are secondary concerns.

Long-Term Creditors Are Usually Most Interested in Evaluating