Why Is the BMI Considered Only an Indirect Measure of Body

question 196

Essay

Why is the BMI considered only an indirect measure of body fat? In other words,why is this not always considered a 100% accurate measure of overweight and obesity?

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Definitions:

Profitability

This refers to the ability of a business to generate earnings as compared to its expenses over a specified period.

Liquidity

The ease with which assets can be converted into cash without significantly affecting their value.

Current Ratio

A liquidity ratio that measures a company's ability to pay short-term obligations with its current assets over current liabilities.

Acid Test Ratio

A financial metric that assesses a company's ability to pay off its short-term liabilities with its quick assets (cash, marketable securities, and receivables).