Liquidity ratios include the

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Liquidity ratios focus on a company's ability to pay its short-term debts, and the current ratio and quick ratio are two widely used liquidity ratios. The inventory turnover ratio is not a liquidity ratio, as it measures the efficiency of a company's inventory management rather than its ability to pay short-term debts. Therefore, choices A and B are incorrect. Choice E, the quick ratio, is a subset of the current ratio that measures a company's ability to pay short-term debts without relying on inventory, but it is not mutually exclusive from the current ratio. Therefore, the correct answer is D, as it includes both the current ratio and inventory turnover ratio.

Liquidity Ratios Include the