One important analytical tool that measures the company's ability to meet current liabilities is called:

Name: One important analytical tool that measures the company's ability to meet current liabilities is called:
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Question

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The operating cash flows to current liabilities ratio measures a company's ability to meet its short-term obligations using its operating cash flows. This ratio is important as it indicates whether the company can cover its current liabilities without relying on external financing.

One Important Analytical Tool That Measures the Company's Ability to Meet