_____________________ are used to measure the ability of a firm to meet its short -term creditor's claims.
A) Activity ratios
B) Leverage ratios
C) Liquidity ratios
D) Market ratios
E) Profitability ratios

Question

Quizplus · Accepted Answer

Liquidity ratios are financial metrics used to assess a company's ability to pay off its short-term debts and obligations, indicating its short-term financial health and efficiency in using its liquid assets.

_____________________ Are Used to Measure the Ability of a Firm