Liquidity and Efficiency Are Considered to Be Building Blocks of Financial

question 163

True/False

Liquidity and efficiency are considered to be building blocks of financial statement analysis.

---

Definitions:

Debits

Entries that are made on the left side of an account ledger, representing an increase in assets or decrease in liabilities and equity.

Credits

Entries made on the right side of accounts, representing a decrease in assets or an increase in liabilities and equity.

Customers List

A compilation of information on clients who purchase goods or services from a business, often including contact details and purchase history.

QBO

QuickBooks Online, a cloud-based accounting software designed for small and medium-sized businesses.