The following question is based on the Appendix. Financial ratios can be categorised as measures of the client's:
· short- term debt- paying ability;
· liquidity activity;
· ability to meet long- term debt obligations; and
· profitability ratios.
Identify one financial ratio for each of the four categories above. State the ratio's name, its numerator and its denominator.

Question

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The Answer of The following question is based on the Appendix. Financial ratios can be categorised as measures of the client's:
· short- term debt- paying ability;
· liquidity activity;
· ability to meet long- term debt obligations; and
· profitability ratios.
Identify one financial ratio for each of the four categories above. State the ratio's name, its numerator and its denominator.

The Following Question Is Based on the Appendix