Financial ratios that measure a firm's ability to pay its bills over the short run without undue stress are known as _____ ratios.

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Short-term solvency ratios, also known as liquidity ratios, measure a company's ability to meet its short-term financial obligations. These ratios assess a company's ability to pay its bills and debts in the short term without putting too much strain on its cash flow. Examples of short-term solvency ratios include the current ratio and the quick ratio.

Financial Ratios That Measure a Firm's Ability to Pay Its