Examlex
Which indicator is most important when it comes to determining the balance of payments and whether or not a nation is going into debt?
Current Ratio
A financial metric indicating a firm's capacity to fulfill its short-term debts, which are obligations due within the next year, by dividing its current assets by its current liabilities.
Debt Ratio
A financial ratio that measures the proportion of a company's total debt to its total assets, indicating the company's leverage level.
Inventory Turnover in Days
A metric that calculates the number of days it takes for a company to sell through its entire inventory, indicating the efficiency of inventory management.
Acid-Test Ratio
A liquidity ratio that measures a company's ability to pay off its current liabilities with quick assets, excluding inventory.
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