Final answer:
FALSE. Financial ratios, which are used to assess a company's performance, are not limited to compressed time horizons and do not cause management myopia.
Step-by-step explanation:
False. Financial ratios, which are used to assess a company's performance, are not limited to compressed time horizons. They can represent various timeframes, such as monthly, quarterly, or annually. While financial ratios may provide a snapshot of a company's financial health within a specific period, they do not inherently cause management myopia. Instead, they serve as tools for decision-making and evaluating the company's performance.