Solvency is concerned with the ability of a company to pay next year's debts as they come due.

Name: Solvency is concerned with the ability of a company to pay next year's debts as they come due.
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Quizplus · Accepted Answer

Solvency is concerned with a company's ability to meet its long-term obligations and debts, not just those due within the next year. Liquidity, on the other hand, refers to the ability to pay short-term obligations.

Solvency Is Concerned with the Ability of a Company to Pay