_____ Ratios Measure the Relative Risk That a Business Setback

question 56

Multiple Choice

_____ ratios measure the relative risk that a business setback could cause bankruptcy.

• A) Liquidity
• B) Gross margin
• C) Leverage
• D) Profitability

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Definitions:

Simplify

To simplify means to make something easier to understand or do, often by reducing it to its most basic form.

Simplify

To reduce something to its basic or essential form, often by removing complexity.

Algebraic Expression

An expression consisting of constants, variables, coefficients, and operating symbols (like +, -, *, /) that represents a mathematical relationship or a rule.

Like Terms

mathematical expressions that have the same variable raised to the same power.