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In your own words, explain what liquidity ratio tells you.

User Runhani
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1 Answer

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Answer:

Essentially, a liquidity ratio is a financial metric you can use to measure a business’s ability to pay off their debts when they’re due. In other words, it tells us whether a company’s current assets are enough to cover their liabilities.

Step-by-step explanation:

User Rodney Amato
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