________ measure how efficiently the firm is operating and offer information about its bottom line.
A)Operating ratios
B)Profitability ratios
C)Balance Sheet ratios
D)All of the above

Question

Quizplus · Accepted Answer

Profitability ratios measure how effectively a firm is using its resources to generate profit. They offer insight into the firm's bottom line and are a key indicator of financial health. Operating ratios and Balance Sheet ratios provide other important information, but they do not directly measure profitability.

________ Measure How Efficiently the Firm Is Operating and Offer