Which of the following categories of ratios includes the current ratio?
A) Liquidity ratios
B) Leverage ratios
C) Debt ratios
D) Valuation ratios

Name: Which of the following categories of ratios includes the current ratio? A) Liquidity ratios B) Leverage ratios C) Debt ratios D) Valuation ratios
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Question

Quizplus · Accepted Answer

The current ratio is a liquidity ratio, which measures a company's ability to pay its short-term obligations with its current assets. Therefore, the correct category is Liquidity ratios.

Which of the Following Categories of Ratios Includes the Current