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What are the major advantages and drawbacks of using controlled customer experiments to determine demand?
Acid-test Ratio
A strict measure used to assess if a company possesses sufficient current assets to pay off its short-term obligations without the need to liquidate its stock.
Times Interest
A metric that evaluates a firm's capability to handle its debt responsibilities using its present earnings.
Equity Multiplier
A financial ratio that measures a company's use of debt financing by comparing total assets to shareholders' equity.
Working Capital
The difference between a company's current assets and current liabilities, indicating the available short-term assets to cover short-term debts.
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