July 14, 2020

Analysis of Liquidity Ratios

Those ratios are considered as liquidity ratios that measure the liquidity position and short-term solvency-indicating the company’s ability to meet its short-run obligations. It means ratios that measure the debtor’s ability to pay its short-term obligations from current or liquid assets without raising external capital is known as liquidity ratios. This ratio stresses on current […]

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Financial Ratio Analysis

Meaning of Financial Ratio and Financial Ratio Analysis Financial ratios are routinely expressed measures to describe the significant relationship that exists between figures shown in income statements of companies normally spoken in the form of times, proportion, and percentage. The standard ratios a manager uses to evaluate a firm’s overall financial condition are financial ratios.

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