Final answer:
A. Profitability
Profitability is the correct answer that measures an organization's ability to generate excess income relative to sales. It includes ratios like gross profit margin, operating profit margin, and net profit margin.
Step-by-step explanation:
The measure that reflects the ability of an organization to generate excess income in relation to its sales is known as A. Profitability. Profitability ratios, such as gross profit margin, operating profit margin, and net profit margin, are commonly employed to assess a company's effectiveness in producing profits compared to its revenue. In contrast, solvency refers to an organization's ability to meet its long-term debts and obligations, liquidity indicates the ease with which assets can be converted into cash, and activity ratios (or turnover ratios) measure how effectively a firm utilizes its assets.