Because financial ratios usually are expressed in compressed time horizons, they often cause management myopia.

Name: Because financial ratios usually are expressed in compressed time horizons, they often cause management myopia.
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Financial ratios provide insights into a company's short-term financial health, but if management focuses only on these ratios, it may lead to neglect of important long-term goals and strategies. This is referred to as management myopia.

Because Financial Ratios Usually Are Expressed in Compressed Time Horizons