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Financial ratios are defined as follows: as depicting relationships between items on a firms financial statements, used to discern whether a firm is meeting its

Financial ratios are defined as follows: as depicting relationships between items on a firms financial statements, used to discern whether a firm is meeting its financial obligations. Which ratio would best measure a firms liquidity concerns:

A.

Net profit / Sales

B.

Gross profit / Sales

C.

Profit / Short-term debt

D.

Debt-to-assets ratio

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