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To measure a firm's solvency as completely as possible, we need to consider The firm's relative proportion of debt and equity in its capital structure
- To measure a firm's solvency as completely as possible, we need to consider
- The firm's relative proportion of debt and equity in its capital structure
- The firm's capital structure and the liquidity of its current assets
- The firm's ability to use Net Working Capital to pay off its current liabilities
- The firms leverage and its ability to make interest payments on its long-term debt
- The firm leverage and its ability to turn its assets over into sales
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