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You Are a Banker Reviewing a Loan Application from a Local

Question 112

Multiple Choice

You are a banker reviewing a loan application from a local business.Which of the following ratios would you look at to get a quick measure of the business's ability to meet its long-term financial obligations?


A) Liquidity ratio
B) Return on assets
C) Debt ratio
D) Current ratio
E) Activity ratio

Correct Answer:

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