Which one of the following is considered a liquidity ratio?
A)debt ratio
B)receivables turnover
C)current ratio
D)profit margin

Name: Which one of the following is considered a liquidity ratio? A)debt ratio B)receivables turnover C)current ratio D)profit margin
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Question

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Current ratio is considered a liquidity ratio as it measures the ability of a company to pay off its current liabilities with its current assets. Debt ratio, receivables turnover, and profit margin are not liquidity ratios.

Which One of the Following Is Considered a Liquidity Ratio