Efficiency refers to the ability of the company,on the basis of the cash it has on hand and the cash it is generating within its operations,to meet its ongoing financial obligations.

Question

Quizplus · Accepted Answer

Efficiency refers to how well a company uses its resources to produce goods and services, not its ability to meet financial obligations. The latter is related to liquidity or solvency.

Efficiency Refers to the Ability of the Company,on the Basis