Example of a comprehensive list of financial ratios

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Reference no: EM133233514

Show an example of a comprehensive list of financial ratios as introduced in Chapter 3 of the textbook--every ratio that is listed in chapter 3.

Next, show a brief explanation below each financial ratio, e.g. what does the financial ratio measures or what the significance of it is.

For example:

Current Ratio = Current Assist / Current Liabilities

Current ratio measures whether our current assets, if liquidated, are sufficient to pay all of our current liabilities. A CR of 1.5, for example, shows that if we were to liquidate all of our current assets, we will be able to cover 1.5x our current liabilities, whereas a CR of 0.5 shows that liquidating our current assets only covers half of our current liabilities.

Reference no: EM133233514

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